[vc_row][vc_column][vc_column_text dp_text_size=”size-4″]In New York, Sam Bankman-Fried, the founder of FTX cryptocurrency exchange once hailed as the “Crypto King,” has been handed a 25-year prison sentence for embezzling $8 billion from clients. Additionally, he has been instructed to repay $11 billion and will undergo a 25-year incarceration term followed by three years of supervised release, as per reports from US media outlets.
Forbes reports that Bankman-Fried, who was previously valued at $26.5 billion, now faces a net worth of zero following his conviction for fraud conspiracy, wire fraud, and money laundering in November 2022.
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The charges against him revolved around allegations of diverting customer funds from his FTX platform to sustain his opulent lifestyle and offset losses incurred by his hedge fund.
Throughout the legal proceedings, Bankman-Fried displayed no genuine contrition. Although he acknowledged errors in managing the situation, he declined to admit any breaches of financial regulations. Assistant US attorney Nicholas Roos advocated for a stringent sentence, citing concerns over the potential for repeat offenses.
Bankman-Fried resigned from his position at FTX in November 2022 when the company faced insolvency. Following the court’s decision, his parents, both Stanford law professors named Joseph Bankman and Barbara Fried, expressed their devastation and pledged ongoing support for their son.[/vc_column_text][/vc_column][/vc_row]
