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Celsius founder and former CEO Alex Mashinsky has been sentenced to serve 12 years in prison for crypto fraud. Mashinsky defrauded hundreds of thousands of customers lured by his firm’s high interest rates on digital-asset deposits. JUST IN: Former Celsius CEO Alex Mashinsky sentenced to 12 years for crypto fraud. — Watcher.Guru (@WatcherGuru) May 8, 2025 Mashinsky pleaded guilty to the charges back in December and was sentenced Thursday by US District Judge John Koeltl in Manhattan. Prosecutors previously wanted the former Celsius CEO to serve 20 years, calling him “unrepentant.” Federal prosecutors charged Mashinsky with fraud, conspiracy, and market manipulation. Moreover, they claimed that he had misled Celsius customers, using their investments to increase the value of both the company and a native cryptocurrency. However, Mashinsky’s defense argues that a shorter sentence would suffice. “He was not motivated by malevolence, cruelty, greed, or ego,” Mashinsk...

Also Read: XRP, Ethereum Leads Sell Off As Crypto Market Bleeds advertisement Celsius Looks To Dodge Collateral Return As per Celsius ’s Reorganization Plan, it will sell all customers’ altcoin s excluding custody and withhold accounts holdings. It mentioned that the process will start on July 1st, 2023. However, the amount recovered from the altcoin sale will be converted into Bitcoin and Ethereum. This development comes after the bankrupt crypto lender’s announcement of choosing Fahrenheit’s proposal in a bid to handle a new entity that is decided to be owned by its creditors. However, David Adler, Bankruptcy Partner at McCarter & English stated that a segment of borrowers represented by him in the case might file an opposition to this plan. It is expected that Celsius might not return their collateral. Read More Crypto News Here… Recommended Articles ...