FTC Secures $10 Million Settlement Against Celsius Founder

A $10 million settlement has been approved in a case between the Federal Trade Commission (FTC) and Alex Mashinsky, the founder of Celsius Network. The settlement was signed off by US District Judge Denise Cote on April 28, according to court documents.

n

The agreement includes a permanent ban on Mashinsky from promoting or operating any product involving the deposit, exchange, investment, or withdrawal of 'assets', which could potentially bar him from financial services beyond crypto. The stipulated order also enters a $4.72 billion monetary judgment against Mashinsky, though his actual cash payment to the FTC is capped at $10 million.

n

The settlement follows Mashinsky's sentencing last May, when a federal judge ordered him to serve 12 years in prison for fraud and market manipulation. The civil settlement reflects the full scope of harm to consumers, even if most of it remains uncollectable.