New York AG Secures Up to $35,000,000 Penalty and Lifetime Ban for Ex-Celsius CEO

New York regulators are securing up to $35 million in penalties along with a permanent ban from key financial sectors against a former cryptocurrency executive for defrauding investors. New York Attorney General Letitia James announced the settlement on October 9, 2026, with Alex Mashinsky, co-founder and former CEO of Celsius Network LLC. Mashinsky defrauded hundreds of thousands of investors, including more than 26,000 in New York, by misleading them about the platform’s safety and low-risk strategies while concealing losses from risky investments. Under the deal, Mashinsky will be permanently barred from the securities, commodities, and cryptocurrency industries.