New York’s Southern District Court has sentenced disgraced former FTX CEO Sam Bankman-Fried to 25 years in prison. Judge Lewis A. Kaplan announced the decision this morning.
As published by CNN, Bankman-Fried expressed regret for his actions and for the people he hurt. “It was unbearable to watch,” he said. “Customers don’t deserve this pain.” He also admitted that the time he will spend behind bars is serious. “My useful life is probably over. – It has been over for some time.
Judge Kaplan suggested that bankman-Fried could be “in a position to do something very bad in the future,” revealing why he gave such a harsh sentence to the one-time golden boy of the crypto community. The sentence was imposed “with a view to incapacitating him for a substantial period of time to the extent reasonably practicable”.
Bankman-Fried is expected to appeal the decision. His defense team he asked for his punishment five to 6.5 years, citing “demonstrated charitable work and commitment to others.” The team also offered leniency, citing a January bankruptcy court indicates that customers and creditors will get their money back. Prosecutors, however, wanted something tougher. U.S. Attorney Damian Williams asked for a sentence of 40 to 50 years “to reflect the seriousness of the defendant’s crimes.” told the court earlier this month. The maximum sentence was 110 years.
SBF, as it is now popularly known, He was arrested in the Bahamas In December 2022, he pleaded guilty to wire fraud against FTX clients, wire fraud against Alameda Research lenders, conspiracy to commit money fraud against both entities, conspiracy to commit securities and commodities fraud against FTX clients, and money laundering. he faced seven charges, including conspiracy. . He was found guilty on all charges.
The trial lasted a month, with prosecutors alleging that he used FTX funds to keep his sister company, Alameda Research, afloat. Caroline Ellison, her one-time girlfriend and CEO of Alameda, confirmed that this was true and admitted to committing fraud on behalf of Bankman-Fried. The lawyers of the accused tried to do so describe him as a failed mathematician struggling with “forces largely beyond his control”.
Alameda borrowed more than $8 billion from FTX, which was taken from accounts belonging to FTX customers. Bankman-Fried claims that he only learned of this in 2020, but took no action to protect the funds. He took the stand at the trial and said which he deeply regrets “Without further investigation” of what happened with both companies. FTX crashed and filed for bankruptcy in 2022.
“Frankly, I made a lot of mistakes. There are things I would give anything to do again.” he said New York Times before the trial begins.
