12 April 2024
In a dramatic turn of events, Sam Bankman-Fried, the founder of the now-defunct cryptocurrency exchange FTX, has been sentenced to 25 years in prison for defrauding users.
The judgment was handed down by US District Judge Lewis Kaplan during a hearing in a Lower Manhattan federal courtroom on March 28.
Bankman-Fried, who had publicly announced plans to appeal the conviction, has now officially filed an objection to the decision.
‘Remorse And Empathy’ For FTX Customers
During the sentencing hearing, US District Judge Lewis Kaplan leveled serious accusations against Bankman-Fried, including perjury and evasiveness during his testimony. The judge expressed disappointment in Bankman-Fried’s lack of regret for the crimes committed.
In response, Bankman-Fried expressed remorse and empathy for the “thousands of customers” who suffered financial losses. He acknowledged his responsibility as CEO of FTX and expressed desire to repair the damage caused.
Bankman-Fried expressed frustration at the loss of what he had achieved and his limited ability to improve the situation from prison. Despite his efforts, he acknowledged the constraints that limited his ability to do more.
Sam Bankman-Fried Alleges Trial Unfairness
In a post-conviction interview, Bankman-Fried expressed concerns about the fairness of his trial, specifically targeting Sullivan & Cromwell, the law firm representing FTX’s new owners.
The disgraced FTX co-founder accused the law firm of colluding with the prosecution and obstructing his access to key FTX documents shared with the prosecution. Bankman-Fried claimed that this had a detrimental effect on the entire trial, including media coverage and the defense’s ability to present evidence in his favor.
With the official appeal now filed, Bankman-Fried is seeking a different outcome, hoping for a reduced sentence. He emphasized the importance of introducing crucial evidence and presenting key witnesses, which he claims his defense was denied the opportunity to do during the trial.
Currently being held at the Metropolitan Detention Center in Brooklyn, Bankman-Fried has been particularly vocal about his desire to remain in the MDC-Brooklyn jail pending the outcome of his appeal.
As this high-profile case unfolds, the crypto mogul’s quest for a different outcome and the damage caused by FTX’s collapse continue to captivate public attention.
Future actions by the US government in response to this appeal, as well as subsequent legal actions and filings by Bankman-Fried’s legal team, are yet to be determined.
Presently, the native token of the exchange, FTT, is trading at $1.60. Notably, the token has experienced a noteworthy 4% price increase within the last 24 hours, distinguishing it from the overall trend of sideways price movement or declines observed across the cryptocurrency market.
However, it is important to note that the token has witnessed a decline of 32% over the past month, which has considerably diminished FTT’s year-to-date surge, currently standing at 25%.
Featured image from iStock, chart from TradingView.com