HomeCrypto UpdatesSam Bankman-Fried, FTX Founder, Found Guilty in Landmark Fraud Case

Sam Bankman-Fried, FTX Founder, Found Guilty in Landmark Fraud Case

Published on

The former CEO of cryptocurrency exchange FTX, Sam Bankman-Fried, was convicted on seven counts of fraud, marking a significant downfall for the once-celebrated crypto entrepreneur, after a jury found him guilty in a case described by U.S. Attorney Damian Williams as “one of the biggest financial frauds in U.S. history.”

Background

Bankman-Fried was accused of defrauding FTX’s customers, lenders, and investors, leading to the collapse of the cryptocurrency exchange and its sister trading firm Alameda Research.

The dramatic fall came a year ago, incited by a massive imbalance in their financial accounts that resulted in billions of dollars in losses for customers.

Read more:

The Verdict

The jury delivered their verdict on November 2, 2023, after five weeks of trial, with a tentative sentencing date set for March 28, 2024.

Bankman-Fried faces a theoretical maximum sentence of 115 years in prison, although legal experts opine that a lesser sentence is more probable.

Defense attorney Mark Cohen conveyed Bankman-Fried’s disappointment with the verdict but affirmed his client’s resolve to “vigorously fight the charges” in an appeal.

On his part, Bankman-Fried acknowledged some “oversights” during his testimony but denied any fraudulent intent.

Key testimonies that swayed the trial came from former executives within Bankman-Fried’s empire, who pleaded guilty and testified against him, painting a picture of a well-orchestrated fraudulent scheme.

Besides the immediate charges, Bankman-Fried is slated to face another trial in March 2024 for additional charges including securities fraud, bank fraud, and violations under the Foreign Corrupt Practices Act.

The fall of FTX had repercussions that reached the Philippines. Before licensed crypto exchange Rebittance (SCI Ventures) ceased operating, the company disclosed an unfulfilled acquisition deal with Genesis Block; the deal fell through after the Hong Kong company ceased trading services amid the fallout of FTX.

Resources: Coindesk, The Block, CNN

This article is published in BitPinas: FTX Founder Sam Bankman-Fried Convicted in Landmark Fraud Case

Disclaimer:

Before investing in any cryptocurrency, it is essential that you carry out your own due diligence and seek appropriate professional advice about your specific position before making any financial decisions.

BitPinas provides content for informational purposes only and does not constitute investment advice. Your actions are solely your own responsibility. This website is not responsible for any losses you may incur, nor will it claim attribution for your gains.

Latest articles

Analyst Suggests Ethereum Price Could Surge to $3,100 with Bullish Momentum

Ethereum (ETH), the second-largest cryptocurrency, has seen a significant price increase over the past...

Cboe Digital Announces Plan to Introduce Margin Futures Trading for Bitcoin and Ethereum by 2024

On Nov. 13, Cboe Digital announced that it will soon launch trading and clearing...

Top Trader Predicts Significant Price Increases for Sushi and Apecoin – Check Out His Projections

A crypto strategist says more rallies are up ahead for prominent decentralized exchange (DEX)...

What is the difference between NVMe and M.2?

`` Over the last decade, solid-state drives (SSDs) have become the top choice for many...

More like this

Analyst Suggests Ethereum Price Could Surge to $3,100 with Bullish Momentum

Ethereum (ETH), the second-largest cryptocurrency, has seen a significant price increase over the past...

Cboe Digital Announces Plan to Introduce Margin Futures Trading for Bitcoin and Ethereum by 2024

On Nov. 13, Cboe Digital announced that it will soon launch trading and clearing...

Top Trader Predicts Significant Price Increases for Sushi and Apecoin – Check Out His Projections

A crypto strategist says more rallies are up ahead for prominent decentralized exchange (DEX)...
bitcoin
Bitcoin (BTC) $ 67,475.08 3.43%
ethereum
Ethereum (ETH) $ 3,763.00 7.14%
tether
Tether (USDT) $ 1.00 0.03%
bnb
BNB (BNB) $ 421.17 0.49%
solana
Solana (SOL) $ 132.24 0.50%
staked-ether
Lido Staked Ether (STETH) $ 3,752.07 7.02%
xrp
XRP (XRP) $ 0.65076 0.48%
usd-coin
USDC (USDC) $ 1.00 0.10%
cardano
Cardano (ADA) $ 0.775079 1.20%
dogecoin
Dogecoin (DOGE) $ 0.186213 14.29%