From crypto pope to scammer. American Sam Bankman-Fried, co-founder of the cryptocurrency exchange FTX, was sentenced to 25 years in prison. The sentence fell this Thursday, March 28, 2024. It closes one of the largest financial frauds in recent history.
8 billion dollars in damage
Last November, “SBF” was found guilty of the seven charges brought against him. Including those of “fraud” and “money laundering”. Because the funds deposited by FTX clients were in fact used, without their knowledge, to finance its investment company Alameda Resarch, whose deficit continued to grow. The deposited assets would also have contributed to the purchase of real estate or, for the equivalent of $100 million, to political donations.
“A Series of Bad Decisions”
It was when the question of FTX’s solvency began to arise that the house of cards collapsed. The bankruptcy of the world’s second largest cryptocurrency exchange on November 11, 2022 will leave thousands of investors with their mouths in the water. For damage estimated at $8 billion, according to prosecutor Damian Williams. Amounts which could be returned according to the liquidation managers.
As for Sam Bankman-Fried, whose fortune amounted to nearly 30 billion at the start of 2022, he has nothing left, except the time to meditate. During the hearing in a New York court, the 30-year-old apologized, admitting to having “made a series of bad decisions”.