New York Sues Celsius Network Founder Mashinsky, Alleges Fraud 11
New York's attorney general on Thursday filed a civil lawsuit accusing Celsius Network founder Alex Mashinsky of scheming to defraud hundreds of thousands of investors by inducing them to deposit billions of dollars in digital assets with his cryptocurrency company. From a report: The lawsuit filed in a New York state court in Manhattan accuses Mashinsky of violating the state's Martin Act, which gives Attorney General Letitia James broad power to pursue civil and criminal cases over securities fraud, and other laws. Mashinsky was accused of promoting Celsius as a safe alternative to banks, while concealing that Celsius was actually engaged in risky investment strategies that contributed to its collapse and bankruptcy. "Alex Mashinsky promised to lead investors to financial freedom but led them down a path of financial ruin," James said in a statement. "Making false and unsubstantiated promises and misleading investors is illegal."
Sounds like one of thousands of crypto-peddlers (Score:2)
Re:Sounds like one of thousands of crypto-peddlers (Score:4, Interesting)
This whole crypto thing is a fascinating thing to watch. There were few murmurs in the early days of it about the possibility of government crackdowns because the states of the world would not want a currency around that they didn't have direct control over. To say that now is pretty much the equivalent of screaming "I love pedophilia" in a crowd. Even the techies talking about how this was going to save us from an ever encroaching control class are now turning tail and talking about how it was a scam all along.
There's some fun concepts to play with in there for any conspiracy theorist willing to expend a few braincells on pontificating the possibilities. Of course people were going to make scam cryptos based on the constant chatter of "free money away from government oversight and control" that got tossed around in the early days. And the scammers ended up out-gunning anyone else involved until they were all that was left.
Of course, any stance outside, "It was all a scam from the beginning" is seen as counter to the narrative. I'm sure I'll be adequately punished with moderation for my daring to voice a differing opinion. Note, I never said at any point that I believe any particular thing, just that I find the whole endeavor to be fun to speculate about having watched it semi-interestedly from the beginning.
It's an funny world we live in. A world that seems to always find a way to come back to "government first" through either inertial momentum, or back-door maneuvering.
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Funniest of all is when someone who has been quacking about how government needs to keep it's nose out of finance, they don't need no government, etc, etc. gets ripped off in crypto and suddenly they're shouting there outta be a law and Help me obi-wan FBI, you're my only hope!
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The ones crying for regulation are nevercoiners, or people who saw it as a get-rich-quick scheme, not the interested techies
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Just on this site? The shift from, "amazing, gonna save the world" to "it was always shit, it was made from shit, and will always be shit," was a pretty stark one.
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Those two quotes come from two different groups of people, like I said. The "save the world" folks just started keeping quiet because the they started to get moderated into oblivion by the "always been shit" crowd, once they became the vocal majority.
You can't talk about the technical, political, or philosophical aspects anymore because everyone rushes in to get their updoots by repeating the same platitudes as their loud brethren
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If I had research time I might back-track some of the big cryers now. But then again, the loudest now were probably parroting whatever was getting upvoted then too, so it'd probably just be an exercise in researching trend-clingers through time.
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It would be fairly interesting if you did. If you end up doing so, let me know what you found out
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Oh, good. Nothing less than what they deserve.
Wrong name. (Score:2)