Penalty Amount
$16,500,000
The FTC charged the founders of Celsius Network with deceiving consumers by falsely promising that cryptocurrency deposits were safe and always available. The founders agreed to pay $16.5 million and are banned from marketing or selling products that can be used to deposit or withdraw assets, among other restrictions.
Mashinsky must pay $10 million, Leon $4.1 million, and Goldstein $2.4 million. All three are banned from marketing or selling certain asset-related products and from making misrepresentations about any product or service. They are also prohibited from violating the Gramm-Leach-Bliley Act. Mashinsky and Leon are additionally barred from disclosing nonpublic personal information without express informed consent.
In-house legal teams should review vendor and customer agreements involving financial data handling to ensure compliance with the Gramm-Leach-Bliley Act, particularly clauses addressing the disclosure of nonpublic personal information and the requirement for express informed consent before sharing. They should also audit marketing and advertising contracts for representations about product safety and availability, ensuring they are accurate and not misleading. Additionally, contracts with service providers that handle deposits or withdrawals should include robust data security and accuracy representations, and indemnification provisions for deceptive practices.
Entity
Alexander Mashinsky, Shlomi Daniel Leon, and Hanoch Goldstein
Industry
Financial ServicesOfficial Press Release
https://www.ftc.gov/news-events/news/press-releases/2026/07/founders-celsius-network-ordered-pay-165-million-resolve-ftc-charges
2223137celsiusnetworkcomplaint
https://www.ftc.gov/system/files/ftc_gov/pdf/2223137celsiusnetworkcomplaint.pdf
CelsiusNetworkLLC StipulatedOrder
https://www.ftc.gov/system/files/ftc_gov/pdf/CelsiusNetworkLLC-StipulatedOrder.pdf
StipulatedOrder(Leon)
https://www.ftc.gov/system/files/ftc_gov/pdf/StipulatedOrder%28Leon%29.pdf
Celsius Order
https://www.ftc.gov/system/files/ftc_gov/pdf/Celsius-Order.pdf
Federal Trade Commission Enforcement Page
https://www.ftc.gov/enforcement
"Alexander Mashinsky, the former CEO of cryptocurrency platform Celsius Network Inc. (Celsius), and his business partners, Shlomi Daniel Leon and Hanoch “Nuke” Goldstein"
"will pay a total of $16.5 million"
"The settlement orders with the FTC require Mashinsky to pay $10 million, Leon to pay $4.1 million and Goldstein to pay $2.4 million."
"Violating the Gramm-Leach-Bliley Act"
"the FTC alleged that Celsius and its co-founders promised consumers that Celsius was “safer” than a bank or other traditional financial institutions and misrepresented that their deposits were safe"
"Proposed orders also ban defendants from marketing or selling products or services that can be used to deposit or withdraw assets"
$600K
The FTC and Washington alleged that Riverside Payments and affiliates misrepresented savings and cancellation terms, concealed fees and auto-renewing contracts, and obtained consumers’ financial information using false or fraudulent statements. The proposed stipulated order requires a $600,000 payment, customer notice and a period to rescind agreements without penalty, and prohibits deceptive claims while requiring clear disclosures, informed consent for negative-option billing, and a simple cancellation method.
FTC staff announced warning letters to 25 healthcare plan marketers and lead generators about deceptive or unfair claims concerning plan benefits, coverage, costs, and enrollment incentives. The letters do not allege wrongdoing by their recipients or impose penalties; they encourage companies to review their advertisements for compliance.
The FTC summarized enforcement actions and other efforts targeting businesses and individuals allegedly impersonating government agencies or legitimate businesses. The release reports more than $80 million in consumer redress across prior actions and takedowns of 19 websites, but it does not announce a new settlement or impose a specific penalty.
The FTC and state and local co-plaintiffs filed a lawsuit alleging Toast imposed hidden and unauthorized fees, enrolled restaurants in add-ons without consent, obstructed subscription cancellations, and misrepresented customer support availability. The complaint is pending in federal court; the press release announces no monetary penalty or imposed remedy.
The FTC issued information orders to nine companies to examine whether they use personal data and other factors to set individualized consumer prices or gig-worker compensation. This is a study and information-gathering inquiry, not a finding that the companies violated the law; recipients must respond within 45 days of receiving the orders.
The FTC and 20 states sued Dollar General, alleging that it repeatedly charged customers more at checkout than advertised prices and failed to correct the problem despite consumer complaints and corporate knowledge. The complaint alleges violations of federal and state laws; the case is pending, and the press release does not report a penalty or final remedy.