Sam Bankman Fried, the founder of FTX and now serving a 25-year sentence for fraud linked to the 2022 collapse of the cryptocurrency exchange, has indicated he would be open to receiving a pardon from former President Donald Trump. However, he claims he hasn’t actively sought out this pardon.
In an exclusive prison interview, Bankman Fried stated, “Ultimately it’s up to the president, obviously not up to me.” When directly asked if he desired a pardon, he responded without any delay, “Of course.”
The former billionaire mentioned he has had no direct communication with the White House or anyone connected to the president. When pressed about whether his parents or others had reached out on his behalf, he remarked, “I can’t speak for them.”
A clemency application has been filed for Bankman Fried, but it seems to seek relief only after he has completed his sentence.
“We did not steal users’ funds.”
Even after three years since his arrest, Bankman Fried maintains his innocence and is appealing his conviction. He’s expected to be sentenced prior to the trial in the Court of Appeals for the Second Circuit. “I’m not stealing users’ funds,” he asserted, adding that customers have been repaid approximately 170% of their deposits during a time when the platform was over-collateralized.
It’s worth noting that Bankman Fried was convicted in 2023 on several charges, including wire fraud and conspiracy related to misappropriating billions from FTX customers. He received a 25-year prison sentence in 2024.
The FTX Bankruptcy Foundation claims that customers have been fully repaid, with some types of claims showing recovery rates around 118% or higher. However, these repayments were based on cryptocurrency values from November 2022, when the market was at a low, meaning customers couldn’t take advantage of later price recoveries. The reported recovery rate is lower than the 170% he mentioned.
Bankman Fried commented, “In the end, the customers ended up having to repay almost double the amount they received on the platform, but it took three years to do so, which is a huge disadvantage for them.”
Mixed Reactions
The discussion around potential leniency for Bankman Fried divides opinions among those invested in the FTX situation. Adam Moskowitz, an attorney for FTX victims, stated he’s not against a pardon, noting that Bankman Fried was one of the first to offer relief to victims.
Conversely, some reject the notion of a pardon outright. Senator Bernie Moreno (R-Ohio) expressed in a comment to Politico that Bankman Fried “should not be pardoned” and deserves a lengthy prison sentence.
A Day in Prison
Describing life behind bars, Bankman Fried depicted a routine filled with reading and exercising, along with daily necessities like sleeping and showering. “I read many books since I went to prison,” he mentioned. There’s not much excitement, it seems.
Interestingly, he has gained unexpected supporters. Rapper Drake mentioned Bankman Fried in his new album “Iceman,” which fans interpreted as a plea for his release. Bankman Fried admitted he was taken aback, saying, “I’m very honored. I’m very grateful.” However, he added that he doesn’t know how to respond to Drake’s nod as they’ve never met.
