The founder of Celsius, Alexander Mashinsky, has been permanently banned from trading on regulated markets in the United States.
The U.S. District Court for the Southern District of New York has officially approved the settlement between the Commodity Futures Trading Commission (CFTC) and former Celsius Network CEO Alex Mashinsky. Under this ruling, Mashinsky is permanently banned from trading on any markets under CFTC jurisdiction and from registering as a participant with the regulator.
This verdict is a direct consequence of the lawsuit filed by the CFTC against Celsius and Mashinsky personally back in 2023. The regulator accused the platform's management of systematically misleading clients about the real risks and yield levels of the offered products. According to the investigation, Celsius attracted approximately $20 billion from investors by promising supposedly safe and ultra-profitable investments, which ultimately turned out to be a financial pyramid scheme.
It is worth recalling that in May 2025, Mashinsky was already sentenced to 12 years in prison in a criminal fraud case. Thus, the lifetime trading ban from the CFTC is an additional, yet highly significant blow to his reputation and future opportunities.
My comment: This case is a classic example of how U.S. regulators "finish off" key figures of bankrupt crypto projects. A lifetime trading ban is not just a formality, but a signal to the entire market: the CFTC and the U.S. Department of Justice are prepared to go all the way. For Mashinsky, this means complete isolation from any legal activity in the crypto industry, even after his release from prison. The market must remember: the price for deceiving investors in the U.S. is not only a prison sentence but also a lifelong exclusion from the profession.