•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
Alex Mashinsky, the founder of the crypto lender Celsius, has settled with the U.S. Federal Trade Commission (FTC), according to the regulator’s latest filing. The high-profile case follows allegations that Mashinsky and Celsius violated multiple areas of federal law, including claims tied to securities and commodities rules.
Under the settlement terms described in the FTC filing, Mashinsky has been permanently restrained and placed under an injunction. The order prohibits him from advertising, marketing, promoting, offering, or distributing any product or service that could be used to deposit, exchange, invest, or withdraw assets. The restriction applies whether the activity is carried out directly or through an intermediary.
The FTC said the language is broad, designed to prevent Mashinsky from operating or assisting in activities that would connect consumers to financial offerings involving crypto assets.
The settlement also includes a major monetary component. The filing states that a $4.72 billion judgment has been entered in favor of the FTC against Mashinsky as monetary relief. It further notes that Mashinsky’s liability is joint and several with any other defendants, to the extent additional liability is ordered later.
In addition, Mashinsky is ordered to pay the FTC $10 million.
While the settlement resolves this portion of the dispute, it does not necessarily limit the FTC’s broader options. The agreement is described as part of the continuing legal fallout tied to Celsius’s 2022 collapse, and it preserves the FTC’s ability to pursue the larger judgment if Mashinsky is found to have misstated or omitted assets in financial disclosures.
The allegations at the center of the case relate to how Celsius users were allegedly induced to move cryptocurrency onto the platform. The regulator said Mashinsky and Celsius represented that deposits were “safer” than keeping funds in a bank or other traditional financial institution, and that customer assets were protected because Celsius allegedly generated profits without exposing consumers to risk.
The FTC alleges those assurances were false, including the claim that Celsius earned money through secured crypto loans made to other exchanges while presenting the arrangement as carrying no risk to depositors.
The FTC also alleged that Celsius falsely advertised that a $750 million insurance policy covered customers’ assets. In addition, it alleges customers were told they could withdraw funds at any time, despite how Celsius operated during the period leading up to its collapse.
Mashinsky’s legal exposure has also continued to escalate in criminal court. In May 2025, he was sentenced to 12 years in prison after pleading guilty to commodities fraud and securities fraud.
At the time of writing, Celsius’ native token, CEL, was trading at $0.017, marking a nearly 99.80% decline since the network’s fallout in 2022.
Premium gym chains are entering a “golden era” that is ending or already in decline, as rising operating costs collide with shifting consumer preferences toward more flexible, community-based ways to exercise. Long-term memberships are shrinking, margins are pressured by higher rents and facility expenses, and competition from smaller, more personalized…
