New York AG Letitia James secures up to $35M from former Celsius CEO Alex Mashinsky

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Alex Mashinsky is already serving a 12-year prison sentence. Now New York wants its money too. On October 8, 2026, New York Attorney General Letitia James announced a settlement with the former Celsius Network CEO. It requires Mashinsky to pay up to $35 million to the state and bars him from trading securities or crypto. The deal resolves fraud allegations tied to Celsius’s Earn Interest Accounts and its native token, CEL. It is one of the last open legal threads from one of crypto’s most damaging collapses. What the settlement actually says The $35 million figure has two parts. The first is a $25 million payment in damages to New York. The second is a $10 million monetary judgment. Mashinsky’s federal forfeiture obligations could potentially reduce that second piece. That explains the “up to” in the headline number. New York may not collect the full $35 million in practice, depending on how the federal and state obligations line up. The agreement blocks Mashinsky from taking part in any trading of securities or crypto. The case started as a civil complaint filed in 2023 under the Martin Act. That is New York’s securities fraud statute, and it gives the attorney general unusually w...

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