Sam Bankman-Fried was one of the most prominent personalities in the cryptocurrency world until just over a year and a half ago. She managed to raise a child when she was only 30 years old. business empire billions of dollars. And he had so much money that he could split it between a luxurious life in the Bahamas, where he lived, and generous donations to American universities and political parties.
But this young man’s reality changed overnight when the FTX cryptocurrency platform crashed in November 2022, leaving users unable to operate and access their investments. Bankman-Fried has ceased to be a respected figure in the business world, his company has filed for bankruptcy, he has been arrested and charged with fraud, and he now faces a maximum sentence of 110 years in prison.
Up to 110 years in prison for fraud
Federal prosecutors requested prison time, Reuters reports 40 to 50 years in prison Because Bankman-Fried stole $8 billion. The 116-page document, submitted to the United States District Court in Manhattan last Friday, stated that the former businessman should receive “a prison sentence commensurate with the extraordinary magnitude of his crimes.”
The defense secured Bankman-Fried’s release on bail at the end of 2022, allowing her to remain under house arrest for several months at her family’s mansion in Palo Alto, California. However, in August 2023, a judge revoked the aforementioned relief and he was eventually sent to prison for alleged witness tampering. The bail committee recommended a 100-year sentence for him.
For the disgraced businessman’s lawyers, such advice is disproportionate. They asked the Court to consider a sentence instead. imprisonment for not more than six and a half years. But that position directly contradicts the opinion of prosecutors, who believe there is a risk that Bankman-Fried will commit some form of fraud again in the future if he receives a lesser sentence.
Let’s remember that Bankman-Fried was found guilty of seven charges in November. FTX and Alameda Research. In total, these are two counts of wire fraud conspiracy, two counts of wire fraud, one count of money laundering conspiracy, one count of commodity fraud conspiracy, and one count of securities fraud conspiracy.
We’ll have to wait until March 28 to find out what Bankman-Fried’s fate will be. That day, Judge Lewis A. Kaplan will hold a sentencing hearing where he will announce the fraudster’s sentence, which could include up to 110 years in prison. This is a judicial decision that will not go unnoticed as it is the first conviction of this magnitude related to the crypto world.
Meanwhile, the FTX page is still down, but the company behind the platform has been making some progress since joining. Chapter 11 Bankruptcy Law of the united states. The company is in the process of liquidating its assets and settling its debts to its creditors under court supervision. However, it is not known when users will be able to get all their money back.
Pictures | FTX | Mariia Shalabaieva
in Xataka | Sam Bankman-Fried, Changpeng Zhao and Do Kwon: Cryptocurrency’s three disgraced ‘Wise Men’
in Xataka | There are 22 cryptocurrency billionaires in the world. Only six of them want to invest in Bitcoin
Source: Xataka
Jason Root is a blockchain enthusiast and author at Div Bracket. He provides comprehensive coverage of the latest developments in the world of blockchain, offering readers a unique perspective on the industry and its potential for revolutionizing various industries.