•Ceres is 2.5 km more oblate than its rotational geoid.•Faster paleospin can reconcile Ceres’ present-day (i.e., fossil) shape and J2 gravity.•Ceres could have been modestly despun by impacts or by satellite tidal evolution and loss.•Deep-seated global mass anomalies can also explain Ceres’ nonhydrostatic degree-2 shape and gravity.•Ceres’ mean moment-of-inertia lies between 0.345 and 0.375 depending on paleospin. We show that Ceres’ measured degree-2 zonal gravity, J2, is smaller by about 10% than that derived assuming Ceres’ rotational flattening, as measured by Dawn, is hydrostatic. Irrespective of Ceres’ radial density variation, as long as its internal structure is hydrostatic the J2 predicted from the shape model is consistently larger than measured. As an explanation, we suggest that Ceres’ current shape may be a fossil remnant of faster rotation in the geologic past. We propose that up to ∼7% of Ceres’ previous spin angular momentum has been removed by dynamic perturbations such as a random walk due to impacts or a loss of satellite that slowed Ceres spin as it tidally evolved outward. As an alternative, we also consider a formal degree-2 admittance solution, from which we infer a range of possible non-hydrostatic contributions to J2 from uncompensated, deep-seated density anomalies. We show that such density anomalies could be due to low order convection or upwelling. The normalized moments-of-inertia derived for the two explanations – faster paleospin and deep-seated density anomalies – range between 0.353 ± 0.009 and 0.375 ± 0.001 for a spherically equivalent Ceres, which can be used as constraints on more complex Ceres interior models.