Celsius Executive’s Sentencing Delayed as He Provides Key Information in Mashinsky Case

Roni Cohen-Pavon, formerly the chief revenue officer at Celsius, will not face sentencing this week as initially scheduled.

A decision by the U.S. District Court for the Southern District of New York has postponed his sentencing until after Alex Mashinsky’s, the platform’s ex-CEO, scheduled hearing in April 2025. U.S. Attorney Damian Williams indicated that Cohen-Pavon’s cooperation could be important for the upcoming case of Mashinsky, who is accused of misleading users and manipulating market prices.

Cohen-Pavon, who was arrested in September 2023 after pleading guilty to multiple felony charges, including securities fraud and price manipulation, will now await further proceedings. His role in the case has sparked questions about whether the information he provided could influence Mashinsky’s sentencing. Cohen-Pavon has admitted to his involvement in the scheme, while Mashinsky has already reached a plea deal, agreeing to forfeit $48 million in proceeds.

The legal proceedings surrounding the collapse of Celsius, a major player in the crypto lending space, continue to unfold. The company, which filed for bankruptcy in 2022, left users stranded with billions in assets frozen. With the company now in the process of reorganizing, plans to repay creditors are set to begin in 2025.

Despite these challenges, Cohen-Pavon has been allowed to travel, including a trip to Singapore last fall, raising speculation about his potential involvement in various crypto events.

With bankruptcy proceedings continuing, the impact of these legal developments on the broader cryptocurrency landscape remains to be seen, particularly as more high-profile cases like FTX unfold.