After a five-week trial, a New York jury found Sam Bankman-Fried, founder and former CEO of FTX, guilty of all seven counts of fraud, conspiracy and money laundering. The sentencing date for this crime has not yet been set, and is tentatively scheduled for March 28, 2024.
“A unanimous verdict, Your Honor,” a message from the 12-member jury said when it reached the guilty verdict.
Once hailed as the “messiah” of the cryptocurrency industry, Bankman-Fried was convicted of two counts of wire fraud, two counts of conspiracy to commit wire fraud, and one count of conspiracy to commit money laundering. The penalty for each of these crimes reaches a maximum of 20 years. He was also convicted of one count of conspiracy to commit commodities fraud and one count of conspiracy to commit securities fraud, each carrying a maximum sentence of five years.
In all, he potentially faces a maximum of 115 years in prison.
The courtroom painter in the Sam Bankman Fried trial may be the most generous person alive pic.twitter.com/8l7Nn0zCN2
– Tom Breen (@TJBreen) October 30, 2023
“Sam Bankman-Fried committed one of the largest financial frauds in American history,” US Attorney Damian Williams said outside court after the US jury revealed the guilty verdict. “This kind of fraud and this kind of corruption is as old as time. We have no patience for it.”
JUST IN: 🇺🇸 US Attorney says Sam Bankman Fried committed one of the biggest financial crimes in US history. pic.twitter.com/CLzVhiALUg
– Watcher.Guru (@WatcherGuru) November 3, 2023
Referring to the appeal, Bankman-Fried’s attorney said: “We respect the jury’s decision. But we are very disappointed in the outcome. Mr. Bankman-Fried maintains his innocence and will continue to aggressively fight the charges against him.”
The encrypted fall of the Mongols
Bankman-Fried was once seen as one of the prominent faces of the cryptocurrency industry during the heyday of his now-bankrupt exchange, FTX. Another valuable entity in his collapsed crypto empire is Alameda Research, which he founded before FTX. However, it all came crashing down overnight when his questionable business practices came to light in November last year.
Prosecutors accused him of masterminding a scheme to embezzle nearly $8 billion in customer funds. These ill-gotten gains were allegedly used to purchase real estate, make political contributions, and fund pet charitable projects.
While Bankman-Fried was facing criminal trial, his other top associates pleaded guilty to the charges and cooperated with prosecutors in the investigation. Former Alameda CEO, Carolyn Ellison, and two former high-ranking executives from FTX, Nishad Singh and Gary Wang, also took the witness stand to testify against their former boss.
After a five-week trial, a New York jury found Sam Bankman-Fried, founder and former CEO of FTX, guilty of all seven counts of fraud, conspiracy and money laundering. The sentencing date for this crime has not yet been set, and is tentatively scheduled for March 28, 2024.
“A unanimous verdict, Your Honor,” a message from the 12-member jury said when it reached the guilty verdict.
Once hailed as the “messiah” of the cryptocurrency industry, Bankman-Fried was convicted of two counts of wire fraud, two counts of conspiracy to commit wire fraud, and one count of conspiracy to commit money laundering. The penalty for each of these crimes reaches a maximum of 20 years. He was also convicted of one count of conspiracy to commit commodities fraud and one count of conspiracy to commit securities fraud, each carrying a maximum sentence of five years.
In all, he potentially faces a maximum of 115 years in prison.
The courtroom painter in the Sam Bankman Fried trial may be the most generous person alive pic.twitter.com/8l7Nn0zCN2
– Tom Breen (@TJBreen) October 30, 2023
“Sam Bankman-Fried committed one of the largest financial frauds in American history,” US Attorney Damian Williams said outside court after the US jury revealed the guilty verdict. “This kind of fraud and this kind of corruption is as old as time. We have no patience for it.”
JUST IN: 🇺🇸 US Attorney says Sam Bankman Fried committed one of the biggest financial crimes in US history. pic.twitter.com/CLzVhiALUg
– Watcher.Guru (@WatcherGuru) November 3, 2023
Referring to the appeal, Bankman-Fried’s attorney said: “We respect the jury’s decision. But we are very disappointed in the outcome. Mr. Bankman-Fried maintains his innocence and will continue to fight the charges against him vigorously.”
The encrypted fall of the Mongols
Bankman-Fried was once seen as one of the prominent faces of the cryptocurrency industry during the heyday of his now-bankrupt exchange, FTX. Another valuable entity in his collapsed crypto empire is Alameda Research, which he founded before FTX. However, it all came crashing down overnight when his questionable business practices came to light in November last year.
Prosecutors accused him of masterminding a scheme to embezzle nearly $8 billion in customer funds. These ill-gotten gains were allegedly used to purchase real estate, make political contributions, and fund pet charitable projects.
While Bankman-Fried was facing criminal trial, his other senior associates pleaded guilty to the charges and cooperated with prosecutors in the investigation. Former Alameda CEO, Carolyn Ellison, and two former high-ranking executives from FTX, Nishad Singh and Gary Wang, also took the witness stand to testify against their former boss.