Celsius Founder Locked Out of Crypto After $10 Million Deal

Alex Mashinsky, once the face of Celsius Network, has been barred from any crypto work after settling with the FTC for $10 million. The original court order had aimed at a staggering $4. 7 billion tied to the firm’s collapse, but most of that amount was suspended. Only a single payment and an industry ban remain in force. The settlement says Mashinsky cannot advertise, promote, or help distribute any crypto product. This includes anything that lets people deposit, trade, invest, or withdraw digital assets, even if it goes through another company. The ban is permanent unless he hides assets or lies about his finances, at which point the FTC can lift the suspension and recover the larger judgment.Alongside the ban, Mashinsky faces a 12‑year prison sentence for fraud and manipulating the price of Celsius’s own token. He also must keep detailed records for up to 18 years, a measure designed to keep regulators in the loop about his future dealings. This move reflects a broader crackdown on crypto lenders. Other firms like BlockFi and Genesis have also faced civil and criminal probes, showing regulators are tightening rules around companies that promised safe crypto deposits.