In a dramatic turn of events, Sam Bankman-Fried, the founder of the failed cryptocurrency exchange FTX, has been found guilty on all charges following a month-long trial in Manhattan federal court. The 30-year-old, once a billionaire, was convicted of seven criminal charges, including wire fraud, securities fraud, conspiracy, and money laundering.
Former FTX CEO, Sam Bankman-Fried, has been found guilty on all seven counts following a month-long trial, marking a significant moment in the world of cryptocurrency. The prosecution presented nearly 17 witnesses during the trial, while the defense had just three. Bankman-Fried himself testified during the trial, often responding with "I don't recall" or "I don't remember."
The verdict came swiftly, with the jury deliberating for just two days before reaching a unanimous decision on all counts. Bankman-Fried was described by prosecutors as a deceitful fraudster who allegedly misappropriated billions in FTX customer funds to cover losses at his hedge fund, Alameda Research. If the court sentences him to the maximum term for each charge, he could face up to 110 years in prison.
However, the evidence presented by the prosecution was compelling, including messages that allegedly revealed Bankman-Fried's deception to investors regarding FTX's financial health and his unauthorized use of customer funds for high-risk trading through Alameda Research.
The trial's conclusion has sent shockwaves through the cryptocurrency and financial communities, as many followed the case closely. The sentencing is scheduled for March 28, 2024, and it marks a pivotal moment in the ongoing debate about accountability and regulation within the cryptocurrency industry.