Alex Mashinsky, founder of Celsius Network, was sentenced to 12 years in prison for defrauding investors. He pleaded guilty to securities and commodities fraud. Mashinsky’s scheme resulted in billions in investor losses while he personally profited $48 million. The court considered a maximum sentence of 20 years, but Mashinsky sought a lighter sentence of one year and one day. Celsius Network’s collapse began in 2022 when it halted withdrawals, citing “extreme market conditions.” A month later, the company filed for bankruptcy, revealing a $1.19 billion deficit. In 2023, the Federal Trade Commission settled with Celsius for $4.7 billion, permanently banning the company from handling assets. The FTC found that Celsius had misled consumers, causing them to lose billions in deposits with false promises of safety and availability.
Molly White
@molly0xFFF
·
Apr 23 FBI: Americans aged 60 and older reported losing almost $3 billion to crypto fraud last year. In total, Americans reported being scammed out of around $9.3 billion via crypto, out of a total $16.6 billion in total reported losses that year.
MAXX!
@QuantMaxx
·
Apr 28 Attention-Grabbing Incidents and Problem:Flashback: The 2017 ICO Boom – When Trust Vanished Overnight
The 2017 ICO craze promised a decentralized future.➠$6.2 BILLION raised in a year.
➠Dreams of financial freedom soared.
Then BANG!
80% of ICOs were scams.
Dev.Lucas
@DevLucasdotnet
·
May 5 Crypto Scams Are Evolving – Here’s How to Stay Safe (And What to Do If You’ve Been Hit)Crypto is booming, but so is fraud. In 2024 alone, over $1B in crypto was lost to scams—investment fraud, impersonation, rug pulls. If you’ve been scammed, read this thread carefully. You are
SHARP
@Sharp0nchain
·
15h i really hope this post reaches the normie side of x.crypto isn’t just about fraud or scams, fraud is a problem anywhere money moves.i looked at the ten biggest scams since bitcoin 2009, four involved crypto and the rest were in tradfi.crypto scams get more attention, which
Atlas
@crptAtlas
·
May 8 ➠ 2◈ In Dec 2024 – Jan 2025 alone, at least $65M+ was stolen from Coinbase users through confirmed scam flows◈ This figure comes from publicly analyzed wallets, DMs, and blockchain traces◈ The real total is likely far higher – support tickets and police reports aren’t
ChainGPT
@Chain_GPT
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Apr 23 “Babe I just had my wallet drained of our life savings”Nearly $4B in crypto was lost in 2024 to fraud. That’s $4B too much.Swipe to see what CryptoGuard is on the look out for. It’s a no-brainer to download our free browser-extension
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