PANews reported on April 30 that according to The Block, the U.S. Attorney's Office for the Southern District of New York recently submitted a sentencing memorandum, recommending that Alex Mashinsky, the former CEO of the bankrupt crypto lending platform Celsius, be sentenced to 20 years in prison. Prosecutors accused him of causing billions of dollars in customer losses through crimes such as commodity fraud and manipulation of CEL token prices. Mashinsky pleaded guilty to two criminal charges in December 2023.
The memorandum pointed out that Mashinsky got rich through fraud, while ordinary investors lost all their savings because they believed his false statements. The prosecutors particularly emphasized that Mashinsky's "lack of remorse" showed that he was still dangerous, and cited the 25-year sentence of SBF, the former CEO of FTX, as a reference for sentencing. Mashinsky, 60, was originally scheduled to be sentenced on May 8 (May 9, Beijing time).
