Sam Bankman-Fried was just sentenced to 25 years in prison

The Southern District of New York has just ruled that disgraced former FTX CEO Sam Bankman-Fried has been sentenced to 25 years in prison. Judge Lewis A. Kaplan announced the decision this morning.

According to CNN, Bankman-Fried expressed regret for his actions and the people he hurt. “It was unbearable to watch,” he said. “Customers shouldn’t have to suffer like this.” He also admitted he could spend a tough time in jail. “My lifespan is probably over,” he said. “It’s been over for a while now.”

Judge Kaplan laid out his rationale for imposing such a harsh sentence on the cryptocurrency community’s one-time golden boy, suggesting that Bankman-Fried could “do very bad things in the future.” The sentence was imposed “with the aim of incapacitating him for a substantial period of time”.

Bankman-Fried is expected to appeal the decision. His defense team asked for a sentence of 5 to 6.5 years in prison, citing his “charitable work and demonstrated commitment to others.” The team also recommended leniency, citing that victims would be rehabilitated and citing a January bankruptcy court hearing that showed customers and creditors would get their money back. Prosecutors, on the other hand, want harsher penalties. U.S. Attorney Damian Williams told the court earlier this month that they were seeking a sentence of 40 to 50 years “to reflect the seriousness of the defendant’s crimes.” The maximum possible sentence is 110 years.

SBF (now Notorious) was arrested in the Bahamas in December 2022. He faces seven charges, including wire fraud against FTX customers, wire fraud against Alameda Research lenders, conspiracy to commit wire fraud against two entities, conspiracy to commit securities and commodities fraud against FTX customers and conspiracy to commit money laundering. He was found guilty of all charges.

The trial lasted a month, with prosecutors arguing that he used FTX funds to keep sister company Alameda Research afloat. His ex-girlfriend and Alameda CEO Carolyn Ellison confirmed this and admitted that she committed the fraud on Bankman-Fried’s behalf. The defendant’s lawyers, on the other hand, tried to paint him as a hapless math nerd wrestling with “forces largely beyond his control.”

Alameda borrowed more than $8 billion from FTX, which was withdrawn from the accounts of FTX customers. Bankman-Fried claims he learned of the incident in 2020 but took no action to protect the funds. He took the stand during the trial and said he deeply regretted “not investigating more deeply” the situation at the two companies. FTX collapsed and filed for bankruptcy in 2022.

“Obviously, I made a lot of mistakes. There are some things I would give anything to do over again,” he told the media. New York Times before the trial begins.