Former Celsius CEO Alex Mashinsky is scheduled to report back to federal jail on Friday following a responsible plea and sentencing listening to.
In accordance with paperwork filed on Might 12, just a few days after Mashinsky’s sentencing listening to within the US District Court docket for the Southern District of New York, the previous CEO is anticipated to give up himself to authorities earlier than 2:00 pm ET on Friday.
The court docket beneficial that Mashinsky serve his sentence on the Federal Jail Camp in Otisville, New York — a minimal safety facility about 75 miles (120 kilometers) from New York Metropolis.
Earlier than the crypto market downturn probably precipitated by the collapse of the Terra ecosystem in 2022, Celsius was one of many largest crypto corporations within the trade, together with FTX and others.
The corporate filed for chapter within the US in July 2022, adopted by Mashinsky’s resignation as CEO just a few months later.
Celsius exited chapter in January 2024, later starting its distribution of about $3 billion price of belongings to collectors.
In accordance with court docket paperwork filed in June, Mashinsky forfeited all claims to the corporate throughout chapter proceedings.
Initially indicted on seven felony expenses in July 2023, the previous CEO was scheduled to go to trial earlier than his legal professionals misplaced a movement to have the counts associated to commodities fraud and manipulating the worth of the Celsius (CEL) token dismissed.
The corporate’s former chief income officer, Roni Cohen-Pavon, pleaded responsible to 4 felony expenses and is scheduled to be sentenced on Sept. 17.
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Cointelegraph reached out to Mashinsky and Cohen-Pavon’s authorized crew for remark, however had not acquired a response on the time of publication.
Mashinsky was probably the most vital figures within the cryptocurrency and blockchain trade who confronted prison expenses and jail time, together with former FTX CEO Sam “SBF” Bankman-Fried, former Binance CEO Changpeng “CZ” Zhao, and Terraform Labs co-founder Do Kwon.
Bankman-Fried was convicted and is serving a 25-year sentence in a California jail, Zhao pleaded responsible and served 4 months, and Kwon awaits sentencing after a guilty plea in August.
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