DOJ Requests 20-Year Prison Sentence for Celsius Founder Alex Mashinsky
The US Department of Justice (DOJ) seeks a twenty-year prison sentence for Alex Mashinsky, founder of Celsius, due to his involvement in the platform's fraudulent operations. The DOJ claims Mashinsky's actions were deliberate and resulted in significant investor losses.
- The DOJ submitted a 97-page sentencing memorandum detailing the case against Mashinsky.
- Victims have been unable to access their cryptocurrencies since Celsius suspended operations.
- Mashinsky pleaded guilty to misrepresenting the safety of deposits and manipulating the price of CEL.
- He admitted to siphoning over $48 million for personal use.
This case reflects increasing scrutiny of crypto-related fraud, emphasizing that authorities are intensifying efforts against such schemes.
In a related incident, investigator ZachXBT flagged a suspicious transaction involving 3,520 BTC worth $330.7 million, highlighting ongoing concerns about cryptocurrency scams and laundering activities.