Former Celsius CEO to Be Sentenced in May as 200+ Victims Demand Justice

Former CELSIUS CEO Alex Machinski is scheduled to be Heal On May 8, 2025, after adopting guilt to two federal criminal charges related to fraud and manipulation of the market.

The ruling will be held in the Federal Manhattan Court, where American prosecutors have defined a case against Machinsky, which extends years of alleged misconduct that involves CELSIUS operations and the company’s original company symbol.

Hundreds of victims’ statements were presented before the ruling was issued

Mashinsky entered guilt in December 2024 to statistics of one of the fraud of goods and one charge of price manipulation. Initially he faces multiple fees, including securities fraud and wire fraud, the ruling was delayed from April 8 after a request from his legal team to provide additional evidence to consider them.

He may face a prison sentence for up to 20 years, despite being sentenced to all charges, as the penalty may extend to 30 years. The case is one of the most prominent examples of legal procedures after the collapse of 2022 of several encryption lending platforms.

In the period before the issuance of the rulings, American prosecutors have made more than 200 victims a victim of Celsius users who explain in detail the financial and emotional effects of the collapse of the platform.

These documents were shared by interim American lawyer, Jay Clayton, on April 23, 2025, and provides an insight into the harm that retailers are suffering from. The data is later available by Molit White Covering Lawyer through Courtlistner.

Public prosecutors have just made more than 200 victims a victim before Alex Machinski’s referee in the case of fraud in a march. I bought it on Paceer to make it freely available on Courtlistner: pic.twitter.com/jchonwpva6

Molly White (@molly0xfff) April 23, 2025

The victim’s data, which extends to more than 400 pages, includes a certificate of individuals who claim to have lost retirement savings, emergency funds and family investment. Many accounts describe how users were encouraged to share encryption assets with Celsius based on high returns and safety promises.

In one case, one of the former teachers reported the loss of more than 70 % of savings for life, while others referred to depression and financial instability and the difficulty of recovering from losses. Some investors have stated that they were left with debts or financial obligations who were unable to meet Celsius.

The role of Machinski and broader legal effects

Celsius Network was presented for bankruptcy in July 2022 after the wider Crypto market, which followed the collapse of the Terra ecosystem. The company was once estimated at more than $ 13 billion in customer assets.

During the legal procedures, government agencies including the Ministry of Justice, the Securities and Exchange Committee (SEC), and the FTC Mashinsky of misleading investors and distorting the company’s profitability and financial health.

FTC settled with CELSIUS in mid -2013, with the company’s permanently excluding from the Consumer Assets Management and imposing fees on former executives. In the defense of Machinsky, his legal team argued that he relied on the internal instructions of experts and did not intend to deceive customers. However, prosecutors confirm that his actions have caused billions of investor losses.

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