Why Sam Bankman-Fried Received a 25-Year Prison Sentence

  • 📰 TIME
  • ⏱ Reading Time:
  • 63 sec. here
  • 3 min. at publisher
  • 📊 Quality Score:
  • News: 29%
  • Publisher: 53%

United Kingdom Headlines News

United Kingdom Latest News,United Kingdom Headlines

Sam Bankman-Fried outside a Manhattan federal courthouse in 2023.

of defrauding customers and investors of his cryptocurrency exchange FTX, was sentenced to 25 years in prison on Thursday by a federal judge, who ruled that Bankman-Fried committed perjury and attempted witness tampering. The sentencing closes the door on an astonishing rise-and-fall saga in which Bankman-Fried, 32, was lauded as one of the world’s most successful entrepreneurs before losing more than $8 billion worth of FTX customer deposits.

On Thursday, Judge Lewis Kaplan used strong language to criticize Bankman-Fried and justify his sentence. He said that Bankman-Fried perjured himself three times while under oath, including falsely testifying that he had no knowledge that his trading firm Alameda had spent FTX customer funds until the fall of 2022.

Bankman-Fried, who often goes by the nickname SBF, founded the crypto exchange FTX in 2019. It allowed its customers to purchase bitcoin, ether and other cryptocurrencies with cash, as well as to make all sorts of high-risk bets on the direction of cryptocurrency prices. Thanks to an aggressive marketing campaign that included a Super Bowl commercial with Larry David and endorsement deals with Tom Brady and Stephen Curry, FTX became one of the most-used crypto exchanges in the world.

Judge Lewis Kaplan, who berated Bankman-Fried during the trial for his evasive way of answering questions, handed out the sentence on Thursday. (Kaplan alsoBankman-Fried faced a maximum of 120 years prison, but many of the charges were similar in nature, and so were not considered separately in sentencing. Over the last few months, both sides submitted letters to the judge lobbying for either a shorter or longer sentence.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 93. in UK

United Kingdom Latest News, United Kingdom Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Ex-crypto boss Sam Bankman-Fried sentenced to 25 years in prison for FTX fraudThe disgraced 'crypto king' was convicted of stealing $8bn (£6.3bn) from customers of the now-bankrupt FTX exchange he founded
Source: i newspaper - 🏆 8. / 89 Read more »

'Crypto king' Sam Bankman-Fried sentenced over £6,350,000,000 fraudThe former billionaire is appearing in New York on Thursday after his cryptocurrency exchange company, FTX, went bust in 2022 with $8billion of customer funds missing.
Source: Metro Newspaper UK - 🏆 61. / 63 Read more »

Dethroned 'crypto king' Sam Bankman-Fried to be sentenced for fraudA jury found that Bankman-Fried illegally used money from FTX depositors to cover his expenses, which included purchasing luxury properties in the Caribbean.
Source: itvnews - 🏆 69. / 61 Read more »

Dethroned Crypto King Sam Bankman-Fried to be Sentenced for Defrauding FTX InvestorsFTX founder Sam Bankman-Fried is seen here leaving Federal court on July 26, 2023, in New York.
Source: TIME - 🏆 93. / 53 Read more »

The Philosopher Who Critiqued Effective Altruism More Than 250 Years AgoSam Bankman-Fried; Jean-Jacques Rousseau
Source: TIME - 🏆 93. / 53 Read more »

Sam Bankman-Fried: Disgraced 'crypto king' jailed for 25 years after stealing billions of dollars from FTX customersSecret back doors had been established that allowed SBF's other company, Alameda Research, to access money belonging to FTX customers and make risky bets without their knowledge.
Source: SkyNews - 🏆 35. / 67 Read more »