Sam Bankman Freed is back in the spotlight as new activity surrounding his high-profile case sparks new debate in the crypto community. Recent developments have reignited debate over his role in one of the biggest financial scandals in crypto history.
Appeal to overturn conviction
Lawyers for Sam Bankman Fried, the founder of failed cryptocurrency exchange FTX, will ask a federal appeals court to overturn his conviction on November 4, Reuters reports.
In 2023, a federal jury in Manhattan found Bankman Freed guilty of seven criminal charges, concluding that he stole approximately $8 billion from FTX customers. SBF admitted that it made mistakes while operating FTX, but denied stealing customer funds.
His lawyers plan to argue in the 2nd Circuit Court of Appeals that SBF did not receive a fair trial. They claim the judge wrongly blocked evidence that could support Bankman Freed’s belief that FTX still had enough funds to cover customer withdrawals.
However, the prosecution argued that trial evidence, including the testimony of three cooperating witnesses and FTX’s internal documents, clearly proved his guilt. He was convicted in November 2023 on seven counts of fraud and conspiracy.
New claims regarding FTX’s solvency
Just recently, an account linked to Sam Bankman Freed shared a 14-page document about X that claims FTX is not actually bankrupt. The document claims that the exchange suffered only a temporary liquidity crisis and accuses FTX’s outside lawyers of seizing control and forcing it into bankruptcy. “FTX never went bankrupt, even if the lawyers did.” he said.
He also claimed that when FTX filed for bankruptcy in 2022, it still had sufficient assets, including billions of dollars in cryptocurrencies and large investments in companies.
call for amnesty
SBF aides have reached out to President Trump in hopes of securing a presidential pardon. This comes after he pardoned Silk Road founder Ross Ulbricht and Binance’s Qiao Changpeng. However, President Trump has not publicly commented on whether he is considering the request.
Bankman Freed is currently serving a 25-year sentence and is scheduled to be released in 2044.
Trust CoinPedia:
CoinPedia has been providing accurate and timely cryptocurrency and blockchain updates since 2017. All content is created by an expert panel of analysts and journalists following strict editorial guidelines based on EEAT (Experience, Expertise, Authority, and Trustworthiness). All articles are fact-checked against trusted sources to ensure accuracy, transparency, and authenticity. Our review policy ensures unbiased evaluations when recommending exchanges, platforms, or tools. We strive to provide timely and up-to-date information on everything cryptocurrencies and blockchain, from startups to industry giants.
Investment Disclaimer:
All opinions and insights shared represent the author’s own views on current market conditions. Please do your own research before making any investment decisions. Neither the author nor the publication is responsible for your financial choices.
Sponsors and advertising:
Sponsored content and affiliate links may appear on our site. Ads are clearly marked and our editorial content is completely independent of our advertising partners.