Alex Mashinsky, the former CEO of Celsius, will stand trial in September 2024 for multiple counts of fraud, including wire fraud, securities fraud, commodities fraud, and conspiracy to manipulate the value of the company’s native crypto token, CEL. His lawyers will make a case based on the ambiguity surrounding the legal status of cryptocurrencies. The trial date was set during a hearing on October 3. Mashinsky was originally arrested and charged on July 13, 2023 and released on bail for $40 million on July 14. He is facing criminal fraud charges from the U.S. Attorney’s Office for the Southern District of New York, a civil fraud case from the New York Attorney General’s office, and a securities case from the U.S. Securities and Exchange Commission. Celsius itself collapsed under Mashinsky’s management last year. It halted withdrawals in June 2022 and entered bankruptcy proceedings in July 2022. The firm was said to owe about $4.2 billion to more than 100,000 creditors at the time of bankruptcy. Recent reports suggest that it may pay out about $2 billion in crypto plus as company shares and stake in litigation against Mashinsky.

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Information	Details
Geography	North America
Countries	🇺🇸
Sentiment	negative
Relevance Score	10
People	U.S. Securities and Exchange Commission., Alex Mashinsky, U.S. Attorney’s Office, New York Attorney General’s office
Companies	Bloomberg, New York Attorney General’s Office, U.S. Department of Justice, U.S. Securities and Exchange Commission, Celsius
Currencies	US Dollar, Bitcoin, Ethereum, Celsius Network
Securities	None