Woofun AI reports that Celsius co-founders Shlomi Daniel Leon and Hanoch "Nuke" Goldstein are ordered to pay over $6 million to the U.S. Federal Trade Commission to settle charges of misleading customers regarding platform security prior to collapse. U.S. District Judge Denise Cote signed an order on Monday requiring former CTO Goldstein to pay $2.014 million, while a separate June 29 order mandates former CSO Leon to pay $4.1 million.

The FTC alleged that Celsius falsely claimed sufficient reserves, $750 million in insurance, and no unsecured loans, with executives assuring deposit safety days before July 2022 bankruptcy. The orders prohibit Leon from marketing deposit or exchange services and bar Goldstein from marketing retail cryptocurrency trading products.