Celsius: FTC announces $16.5 million resolutions with co-founders
A July 2026 FTC update addresses deposit-safety and withdrawal claims, alongside separate criminal proceedings.
- Cited claims
- 4
- Source records
- 4
- Edition revision
- 2
In this investigation
Court-entry status corrected
The FTC's case timeline for 20 July 2026 labels the stipulated order against Hanoch Goldstein as entered by the court. That docket-linked entry resolves the ambiguity in the press release, whose body still calls his order proposed. The $16.5 million combined amount concerns the three co-founders' resolutions; it is not a reported total of customer distributions.
The consumer-protection update
The FTC announced on 20 July 2026 that Celsius co-founders Alex Mashinsky, Daniel Leon and Hanoch Goldstein would pay a combined $16.5 million to resolve its charges. The announcement describes restrictions on their marketing or sale of specified financial or cryptocurrency services. The scope differs between the individuals and should be read in the linked orders.
The representations at issue
The agency alleged that customers were misled about deposit safety, insurance, reserves and their ability to withdraw at any time. It also challenged claims about secured lending and the risks behind the Earn programme. Those representations concern the substance of the service, not just the volatility of the assets deposited.
A separate criminal record
The civil update follows DOJ's May 2025 announcement of Mashinsky's 12-year prison sentence for fraud and market manipulation. The two proceedings serve different purposes. The FTC payment total should not be added to every criminal or bankruptcy figure as though all represent separate customer losses, and an announced payment obligation is not evidence of an individual customer's recovery.
Sources, dates and limits
Checked 23 October 2026. The FTC case timeline establishes entry of Goldstein's stipulated order, alongside the July 2026 release and May 2025 criminal sentencing record. A settlement order is distinct from a trial finding or an admission covering every allegation. No creditor recovery percentage is calculated.
Evidence & sources
- Adjudicated finding
DOJ reported Alex Mashinsky's 12-year sentence in May 2025 for fraud and market manipulation.
Supporting excerpt: Founder Of Celsius Sentenced To 12 Years For Fraud And Market Manipulation
12 years
Founder Of Celsius Sentenced To 12 Years For Fraud And Market Manipulation ↗ - Source reported
The FTC's July 2026 release describes $16.5 million in payments and restrictions in resolutions with Celsius co-founders; its text distinguishes signed and proposed orders.
Supporting excerpt: Founders of Celsius Network Ordered to Pay $16.5 Million to Resolve FTC Charges
will pay a total of $16.5 million
Founders of Celsius Network Ordered to Pay $16.5 Million to Resolve FTC Charges ↗ - Source reported
FTC consumer guidance warns about promised or guaranteed cryptocurrency profits.
Supporting excerpt: What To Know About Cryptocurrency and Scams | Consumer Advice
Nobody can make those guarantees.
What To Know About Cryptocurrency and Scams | Consumer Advice ↗ - Source reported
The FTC's case timeline for 20 July 2026 labels the stipulated order against Hanoch Goldstein as entered by the court. That docket-linked entry resolves the ambiguity in the press release, whose body still calls his order proposed. The $16.5 million combined amount concerns the three co-founders' resolutions; it is not a reported total of customer distributions.
Supporting excerpt: FTC case timeline: entered Goldstein order
[Entered by the Court]
FTC case timeline: entered Goldstein order ↗
