From FTX to Federal Prison: The Downfall of Former CEO Sam Bankman-Fried

In November, former CEO of FTX Sam Bankman-Fried was found guilty by a Manhattan court for fraud. The 32-year-old was sentenced to 25 years in federal prison for defrauding customers and investors in FTX. Despite prosecutors requesting a longer sentence, the judge agreed with their assertions that Bankman-Fried aspired to be a highly influential figure in the country, which motivated his financial crimes.

Notably, Bernie Madoff received a 150-year sentence for his Ponzi scheme and Elizabeth Holmes was sentenced to over 11 years for defrauding investors at Theranos. In addition to the prison term, the court ordered Bankman-Fried to forfeit $11.2 billion but ruled out restitution due to the impracticality of identifying and compensating the numerous victims. The judge suggested a medium-security or lower-security facility close to San Francisco for Bankman-Fried to serve his sentence so that his family could visit him. This is a developing story that will be updated as more information becomes available.