Sam Bankman-Fried, Crypto King, Receives a 25-Year Prison Sentence in US Court

25 years in prison – that’s the sentence handed down to Sam Bankman-Fried, a prominent figure in the world of cryptocurrencies, by a United States court for his role in defrauding users of the collapsed cryptocurrency exchange FTX.

Justice Lewis Kaplan, presiding at a US District court in lower Manhattan, deemed the defense’s arguments as misleading, logically flawed, and speculative.

Kaplan pointed out that Bankman-Fried had engaged in obstructing justice and witness tampering as part of his defense strategy, factors that influenced the court’s decision on his sentencing.

Following a two-hour hearing, Justice Lewis Kaplan remarked that Bankman-Fried was fully aware of the criminal nature of his actions and now regretted underestimating the risks of being apprehended.

Dressed in a beige jail uniform, Bankman-Fried expressed remorse, acknowledging the “selfish” decisions he had made while at the helm of FTX and lamenting the downfall resulting from his actions.

Every day, he is haunted by the consequences, as stated in his testimony: “There are a lot of mistakes that I made.”

During the court proceedings, Bankman-Fried asserted that FTX had the capacity to refund customers even after its collapse.

The prosecution alleged that Bankman-Fried illicitly extracted over $10 billion from unsuspecting customers in what they termed as “one of the most substantial financial frauds” in US history.

FTX stood at a $32 billion valuation before facing insolvency in 2022, with SBF strategically curating a public persona that attracted notable figures like celebrities, politicians, and industry magnates.

While the prosecutors pushed for a potential 50-year sentence, Bankman-Fried’s legal team advocated for a maximum of six and a half years behind bars.

Convicted on seven criminal charges in November, Bankman-Fried has been detained at the Metropolitan Detention Center in Brooklyn ever since.