Celsius Network Settles with FTC, CEO Arrested
Recently, it was revealed that Celsius Network, a cryptocurrency platform, and its CEO, Alex Mashinsky, had violated U.S. law. Now, the Federal Trade Commission (FTC) has filed a complaint against the company, and Mashinsky has reportedly been arrested. While the Commodity Futures Trading Commission (CFTC) was also involved in the investigation, it appears that the FTC will be taking the lead in this case.
Key Points:
- Celsius Network has reached a settlement with the FTC, agreeing to pay $4.7 billion in penalties.
- The payment of the fine will be suspended temporarily to allow Celsius to repay its creditors.
- If any additional funds are found, they will be confiscated.
- However, the founders of Celsius Network did not accept the settlement and will be sued in federal court.
- As a result of the FTC’s actions, Celsius and its entities are now banned from handling customer deposits.
Hot Take:
The actions taken by the FTC against Celsius Network and its CEO highlight the importance of accountability in the cryptocurrency industry. By holding the company and its executives responsible for their actions, regulators are sending a clear message that no one is above the law, even in the world of emerging technologies. This case serves as a reminder that consumer protection should always be a top priority, regardless of the industry.
By
By
By
By
By