Crypto fraudster sentenced – faces 110 years in prison

Published 9 November 2023
- By Editorial Staff
Sam Bankman-Fried himself claims that he has done nothing wrong.
A court in New York, after a five-week trial, has determined that cryptocurrency founder Sam Bankman-Fried was guilty of extensive fraud and embezzlement when a sum equivalent to approximately 7.7 billion euros disappeared from his cryptocurrency exchange FTX – now he faces the possibility of being sentenced to 110 years in prison.

The cryptocurrency founder has secretly transferred customers’ money to his own trading company Alameda Research, which then lost a large part of it in what was described as “failed trades”.

According to the Wall Street Journal, FTX deployed more than half of the users’ assets and several billion dollars vanished without a trace.

Bankman-Fried, who is also one of Joe Biden’s and the Democrats’ biggest financiers, has consistently claimed that he did not commit any crime intentionally but that he acted in “good faith” – and blamed the alleged incompetence of his employees.

However, the court did not accept this, instead finding that the Jewish American entrepreneur was fully aware of what he was doing when he transferred customers’ money to his own hedge fund without their knowledge. During the trial, several high-ranking employees and FTX executives testified against Bankman-Fried.

The actual sentence to be imposed will be announced at a later date.