Another Crypto Scam After FTX, This Company Defrauded Investors Of Billions Of Dollars
Another crypto scam after FTX, this company defrauded investors of billions of dollars by claiming to be more trustworthy than banks.
Celsius Crypto Fraud Case Alex Mashinsky, the co-founder of the bankrupt crypto lender Celsius Network, is in discussion in the entire cryptocurrency world these days due to his scams.
Mashinsky is said to have introduced degrees Celsius to investors as a safe alternative to banks, a move that left investors with millions of dollars in losses.
Attorney General Leticia James filed a lawsuit against Malinsky, 57, on Thursday seeking an injunction from business and damages, a leading news agency reported.
However, neither Mashinsky nor his lawyers said anything about this.
Prior to that came the FTX cryptocurrency exchange bankruptcy, in which investors lost millions of dollars.
It made big promises to investors.
Celsius promised investors returns of up to 17% per year, the highest in the industry at the time.
A lawsuit filed against Mashinsky noted that he had raised $20 billion from investors by 2022, but the company is currently struggling to make ends meet.
At the same time, the company started investing in high-risk assets to deliver on its promises.
Another crypto scam after FTX, this company defrauded investors of billions of dollars: Cheated the investors.
The lawsuit against him said that Mashinsky often wore a T-shirt that read “Banks are not your friend”, trying to show that his firm invested in low-risk securities.
Who is Mashinsky? The Mashinsky family is originally from Ukraine but settled in New York after immigrating to Israel decades ago. Since then, Mashinsky has founded eight companies.
One of his companies, Arbinet, also went public in 2004. Thanks to that, his company is working to bring Wi-Fi to the New York subway.
Mashinsky’s name emerged in 2017 when he founded his own cryptocurrency company, Celsius.
Pingback: Infosys Q3 Result: Net Profit Of Infosys Increased By 13.4 Percent To Rs 6,586 Crore - DNN