Alex Mashinsky, the founder and former CEO of today-defunct cryptocurrency lending platform Celsius, faces a 20-year prison prison while the US Department of Justice (DOJ) is looking for a severe punishment for his role in a multibillion-dollar fraud.
The DOJ on April 28 Filed The government’s sentencing memorandum against Mashinsky, recommended a 20-year prison for its fraudulent actions, which led to billions of dollars in losses for Celsius customers.
The 97-page memo noted that Celsius users do not access approximately $ 4.7 billion in crypto assets after the The platform has stopped backward On June 12, 2022.
“The court should judge Alexander Mashinsky for twenty years imprisonment as a punishment of his year’s campaign of lies and self-communication left with the awakening of billions and thousands of victims of customers,” the DOJ said.
Mashinsky’s personal benefit is $ 48 million
In addition to investor losses, the DOJ noted that Mashinsky has personally benefited from deceptive schemes in its paper.
As part of his Guilty Plea in December 2024Mashinsky admitted that he was the head of criminal activity in Celsius, whose crimes resulted in losses of more than $ 550 million, and he personally benefited more than $ 48 million, the DOJ said.
The DOJ has featured that Mashinsky’s guilt has shown that his crimes are “not a product of neglect, naivete, or bad luck,” but rather the result of “intentional, calculated decisions to lie, deceive, and steal in chasing personal fate.”
This is a story development, and further information will be added as it is available.
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