Federal prosecutors have asked for a sentence of between 40 and 50 years for Ftx founder Sam Bankman-Fried due to the “extraordinary size” of the multibillion-dollar fraud committed by the cryptocurrency magnate. Potential charges he faced could have resulted in “up to 110 years in prison,” a sentence his defense deemed “grotesque.” In a document spanning over 100 pages, prosecutors methodically laid out Bankman-Fried’s crimes: wire fraud, conspiracy to commit fraud, and conspiracy to commit money laundering. Authorities estimate he defrauded at least 1 million victims of over $8 billion and are seeking an $11 billion restitution order. Judge Lewis A. Kaplan in New York is expected to make his decision on March 28.
The rise and fall of Bankman-Fried have marked one of the largest cases of financial fraud in modern history. After becoming the public face of cryptocurrencies, Bankman-Fried became emblematic of an industry lacking in rules and oversight. His attorneys told the district judge that a sentence of five to six years would be appropriate, as most of FTX’s clients had recovered their funds and Bankman-Fried did not intend to steal. They also announced their intention to appeal the sentence and conviction.
According to federal prosecutors in Manhattan, Bankman-Fried’s recent years have been characterized by unparalleled greed, arrogance, ambition, and gambling with other people’s money. They emphasized that he refuses to admit that what he did was wrong. The scale of his fraud has affected over 1 million victims, with losses reaching over $8 billion. Prosecutors have requested an $11 billion restitution order for Bankman-Fried. The decision is now in the hands of Judge Lewis A. Kaplan, who is set to make his ruling on March 28.
Bankman-Fried’s attorneys argue that a sentence ranging from five to six years in prison would be appropriate, as FTX clients have mostly recovered their funds and their client had no intention of stealing. They have expressed readiness to appeal the sentence and conviction. Bankman-Fried’s transformation from a prominent figure in the world of cryptocurrencies to an emblematic figure of an industry lacking in oversight and rules has set him on a path to one of the largest financial fraud cases in modern history. The decision now rests with Judge Lewis A. Kaplan, who is expected to rule on March 28.
The prosecution’s request for a 40 to 50-year sentence for Ftx founder Sam Bankman-Fried is due to the “extraordinary size” of the multibillion-dollar fraud he committed in the world of cryptocurrencies. Potential charges he faced could have resulted in “up to 110 years in prison,” a sentence his defense considered to be “grotesque.” In a detailed document, prosecutors outlined Bankman-Fried’s crimes, including wire fraud, conspiracy to commit fraud, and conspiracy to commit money laundering. Authorities estimate that he defrauded over 1 million victims of more than $8 billion and are seeking an $11 billion restitution order. Judge Lewis A. Kaplan in New York is expected to render his decision on March 28.
