Alex Mashinsky, the former CEO of Celsius Network, has been sentenced to 12 years in prison for the misappropriation of customer funds and manipulating the price of the lender's token, CEL. The 58-year-old pled guilty to one count of commodities fraud and one count of securities fraud in December 2024. Initially facing a long prison term, Mashinsky's defense requested a significantly reduced sentence of just a year and a day, arguing that a longer sentence would be excessively harsh. Federal prosecutors had recommended 20 years. Throughout the trial, creditors of the defunct lender urged the court to impose a more severe punishment, reflecting the significant losses suffered by customers. The charges could have led to a maximum of 30 years in prison, illustrating the severity of his actions in the cryptocurrency space, particularly amid ongoing scrutiny of crypto practices and regulations.

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