New York Court Freezes Ex-Celsius CEO Alex Mashinsky Assets.

Alex Mashinsky, who used to be the boss of Celsius, is facing money troubles. A U.S. Judge named Jed S. Rakoff has said that Mashinsky can't use his money or sell his things while he is being looked into by the Department of Justice (DOJ). The court has made sure that Mashinsky can't touch his money in banks like Goldman Sachs and Sofi Bank.

Also, Mashinsky can't sell his house in Texas, which he bought in June 2021. He had already tried to sell it on Zillow for about $2.49 million.

Interestingly, after he claimed that he did no wrong, Mashinsky had to pay$40 million to be free until his trial. The people looking into the case believe he lied about Celsius's special coin to make it look more valuable.

What will happen to Celsius and Mashinsky's case?

Celsius, a big crypto company, had money problems last year and had to ask for protection in the U.S. by declaring Bankruptcy, They lost a lot money during a tough time for crypto in June. By the time they had problems, they had 1.7 million customers and had promised them high returns.

The company said they owed their customers a lot but didn't have enough to pay them back. Even though they sold some of their stuff, a decision hurt the people who put money in. In July, Celsius said they would pay back $4.7 billion after talking with the Federal Trade Commission. This was good news for people who couldn't get their money from Celsius since last year. Now, the Celsius Creditors are deciding if they should sell more of the company's assets.