Tech CEO of the company once called as ‘Bank of crypto industry’ sentenced to 12 years in jail

Alexander Mashinsky, former CEO of Celsius Network, was sentenced to 12 years in prison on Thursday for orchestrating a massive fraud scheme that misled investors in the once-prominent cryptocurrency platform. The sentencing, held in Manhattan’s Southern District courtroom before U.S. District Judge John G. Koeltl, marks a steep fall for a figure once celebrated as a pioneer in the crypto industry.

Mashinsky, who pleaded guilty in December 2024 to commodities fraud and manipulating Celsius’s proprietary token, faced charges stemming from a multi-billion-dollar scheme. Prosecutors accused him of deceiving investors about the safety and profitability of Celsius’s yield-generating platform while secretly liquidating tens of millions in personal holdings.