Sam Bankman-Fried, a 32-year-old ex-CEO of the now defunct crypto exchange FTX, was found guilty in November for what prosecutors described as likely “the largest fraud of the last decade.” The Manhattan court ruling came after Judge Lewis Kaplan expressed concern about Bankman-Fried’s potential to cause harm in the future.
Prosecutors claimed that Bankman-Fried aspired to be a highly influential figure in the country, which motivated his financial crimes. Despite being sentenced to 25 years in federal prison for defrauding customers and investors in FTX, some argue that this is only half of what prosecutors had requested. However, this places him at the higher end of sentence lengths in significant white-collar fraud cases, alongside notable cases such as Bernie Madoff’s 150-year sentence for his Ponzi scheme and Elizabeth Holmes’ over 11 years for defrauding investors at Theranos.
In addition to serving time behind bars, Bankman-Fried was ordered by the court to forfeit $11.2 billion but restitution was not granted due to its impracticality. The judge suggested that Bankman-Fried serve his sentence in a medium or lower security facility near San Francisco so that his family can visit him regularly.
This case continues to develop with more information becoming available as time goes on.