Crypto Mogul Gets 12 Years In Multi-Billion Scam

Ars Technica reports:

Alex Mashinsky, the disgraced founder of the Celsius Network cryptocurrency bank who deceived hundreds of thousands into losing billions with the catchy slogan “unbank yourself”—was sentenced to 12 years in prison on Thursday. In December, Mashinsky pleaded guilty to securities fraud and commodities fraud. Federal prosecutors slammed him for reaping $48 million in profits while causing billions in investor losses by artificially inflating the value of his network’s token, Cel.

Mashinsky’s downfall started in 2022, when the Celsius Network suddenly stopped allowing withdrawals, claiming that “extreme market conditions” were to blame. As the case dragged on, Mashinsky and his family appeared unremorseful, victims said. Some victims accused Mashinsky of lying to their faces and pushing them to continue depositing funds even when the end was near and he knew that the money would be lost.

Read the full article. There’s a LOT more to the report, including about suicides and homelessness among the victims.

Celsius founder Alex Mashinsky sentenced to 12 years for “unbank yourself” scam

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— TechIT (@techit.bsky.social) May 9, 2025 at 1:00 PM