Business NewsRegulations News

Alex Mashinsky gets sued by New York Attorney General

The day after Judge Martin Glenn ruled that Celsius owned the $4.2 billion deposited in Earn accounts, the New York Attorney General sued Alex Mashinsky, who founded and led the crypto lending platform since 2017, for defrauding investors and failing to disclose the financial difficulties the company was facing.


The platform promised high returns, higher than most of the crypto industry, and they had to make risky investments in order to try to follow up on this pledge.
The Ukrainian national resigned from his CEO position on Sept. 27, more than two months after Celsius filed for bankruptcy. The crypto lender paused withdrawals in June, following the ruckus caused by the collapse of the Terra ecosystem, despite saying two days before that “Celsius has billions in liquidity”. The filing also specified that it owed $4.7 billion, to about 1.7 million customers.

Stay ahead of the game with our Regulations News.
Boost your knowledge about Crypto with our Crypto Encyclopedia.


Greetings, I go by the name of Flavien - a devoted supporter of cryptocurrency and a tech aficionado who has been keeping track of the developments in the world of blockchain and digital currencies since 2019. The potential of decentralized digital currencies to revolutionize our financial systems has captivated me, and I'm constantly exploring the most recent trends and advancements in this ever-evolving industry. As a content creator for Krypto Channel, my aim is to deliver informative and engaging articles that shed light on all aspects of the crypto world. Whether you're a seasoned investor or simply curious about blockchain technology, I am here to keep you updated on the latest happenings and trends. Being part of this lively and dynamic community is an honor, and I am thrilled to share my passion for cryptocurrency and blockchain with all of you.
Back to top button