Was Celsius Network founder a fraudster?

NEW YORK -- The founder and former CEO of the failed cryptocurrency lending platform Celsius Network was arrested Thursday on federal fraud charges alleging that he schemed to defraud customers by misleading them about key aspects of the business.

What is Celsius crypto lending?

Celsius, one of the more significant names in the crypto lending space, offers interest-bearing products to customers who deposit their crypto assets and provides crypto lending services. The crypto lender secured $750 million last November from a group of investors, including the second-largest pension fund in Canada.

Is Celsius a safe & secure cryptocurrency?

Mashinsky's false portrayal of Celsius as a safe and secure institution caused its customer base to grow exponentially through a large number of retail investors, the indictment says. By the fall of 2021, Celsius had become one of the largest crypto platforms in the world, purportedly holding approximately $25 billion in assets, it says.

What's going on with Celsius's 'extreme market conditions' lawsuit?

Celsius had no immediate comment on the lawsuit, which seeks unspecified compensatory and punitive damages and was filed in New York state court in Manhattan. Stone's accusations follows Celsius' June 12 decision to freeze withdrawals and transfers for its 1.7 million customers because of "extreme" market conditions.