CFTC Permanently Bans Celsius Founder Alex Mashinsky From Trading

The US Commodity Futures Trading Commission has resolved its action against Celsius Network founder Alex Mashinsky, permanently banning him from trading in markets the commodities regulator oversees. A court consent order also bars Mashinsky from ever registering with the regulator and ends the enforcement action it first filed in 2023.

“Mashinsky and Celsius engaged in a scheme to defraud hundreds of thousands of customers by mispresenting the safety, profitability, and regulatory compliance of Celsius’ digital asset-based finance platform,” the regulator said. The order means Mashinsky will never be able to trade US commodities, futures and derivatives.

Earlier this year, the CFTC and the US Securities and Exchange Commission issued guidance saying they considered most major cryptocurrencies to be commodities. The settlement also puts an end to the CFTC’s first case against a digital asset lending platform and marks the end of one of the last remaining regulatory actions pending against Mashinsky.

United States

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