The man who caused the collapse of the FTC cryptocurrency exchange thinks his sentence is unjust
Sam Bankman-Fried, the former CEO of collapsed crypto exchange FTX, is set to appear in court this November as part of his appeal against a 25-year prison sentence. The US Court of Appeals for the Second Circuit has scheduled oral arguments for November 4, marking the first major step in his appeal since his legal team formally challenged the verdict earlier this year.
Bankman-Fried was convicted in 2023 on seven felony counts tied to fraud and conspiracy following the dramatic downfall of FTX, which declared bankruptcy in November 2022 after suffering severe liquidity problems. Prosecutors accused him of misusing billions of dollars in customer funds, while several of his closest associates, including former Alameda Research CEO Caroline Ellison and FTX co-founder Gary Wang, pleaded guilty and testified against him.
In their filings, Bankman-Fried’s attorneys argued that their client was denied the presumption of innocence and that the prosecution unfairly portrayed customer losses as permanent. They maintain that these missteps contributed to his lengthy sentence, which, if upheld, would keep him behind bars until 2044. A successful appeal could open the door to a reduced sentence or even a new trial.
Bankman-Fried has been serving his time at the Federal Correctional Institution in Terminal Island, California, after being transferred from New York in March. His bail was revoked in 2023 when a judge found evidence that he had attempted to influence witnesses while awaiting trial.
The case remains one of the most prominent examples of criminal accountability in the crypto sector, drawing global attention for both its scale and high-profile figures. Alongside the appeal, speculation has circulated that Bankman-Fried might seek a presidential pardon, though no confirmation has been given. The November hearing will provide the clearest indication yet of whether his legal battle has any chance of altering the outcome of one of crypto’s biggest scandals.
