Celsius founder Alexander Mashinsky, the man responsible for the $4.7 billion crypto crash in 2022, has been kicked out of crypto. This is part of a $10 million settlement with the Federal Trade Commission (FTC). founder of cryptocurrency He continues to serve a 12-year sentence.
Celsius founder banned from trading in cryptocurrencies as part of $10 million FTC settlement
a court order A filing by the FTC indicates that the Celsius founder has been permanently banned from cryptocurrencies. This order was issued by Mashinsky. product or service It is used to deposit, exchange, invest, and withdraw assets.
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The virtual currency ban is part of a $10 million settlement with the FTC. The order included a $4.72 billion monetary judgment against the Celsius founders in favor of the commission. This amount is related to Mashinsky's role in the 2022 Mechanic accident. Cryptocurrency lending platformwhich resulted in customers losing access to $4.7 billion in deposits.
However, this money judgment was stayed and Mashinski was ordered to pay $10 million to satisfy this money relief. The order also states that if a cryptocurrency founder pays this amount, it should be considered to have fulfilled its payment obligation. Department of Justice (DOJ) Pursuant to a forfeiture order issued in his criminal case.
It is worth noting that Celsior's founder is currently serving a 12-year prison sentence. Fraud and market manipulation. The cryptocurrency founder pleaded guilty to committing commodity fraud and securities fraud at Celsius in 2024 and was subsequently sentenced last year. Prosecutors said Mashinski used clients' assets to make risky bets and “line his own pockets.”
In addition to the prison term, the Celsius founder was ordered to serve three years of supervised release, pay a $50,000 fine and forfeit $48 million.
Cryptocurrency founder refuses new trial in fraud case
Sam Bankman Freed (SBF), who was also convicted of fraud like Mashinski, his request Because a new trial was denied. According to ABC reporta federal judge denied SBF's request for a new trial, rejecting the FTX founder's argument that his case had new witnesses who could provide evidence exonerating him of wrongdoing.
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The judge said the claim was baseless. SBF is currently serving a 25-year prison sentence for his role in the collapse of a dysfunctional hospital. Cryptocurrency exchange FTX. Bankman Freed was found to have used up to $8 billion in client funds for personal projects.
However, despite being found guilty, he continued to deny any wrongdoing and said his interactions were always a resolution. It is noteworthy that the SBF had also sought a pardon from US President Donald Trump, but the White House has made it clear that there are no plans to pardon President Trump.
Featured image from iStock, chart from Tradingview.com
