According to CoinMeta, New York Attorney General Letitia James and former CEO of Celsius, Alex Mashinsky, have reached a settlement. Mashinsky has been permanently banned from engaging in securities, commodities, and cryptocurrency businesses and faces a maximum compensation of $35 million. Under the agreement, Mashinsky is required to pay the federal government $10 million in illegal gains or $25 million to the state of New York; an additional $10 million must be paid if the sentence is not fully served. The New York Attorney General's Office previously accused Mashinsky of defrauding hundreds of thousands of investors. Mashinsky is currently serving a 12-year federal prison sentence and has been ordered to pay a fine of $48 million. As of August 2026, the bankruptcy proceedings of Celsius have distributed $3.4 billion to creditors.