Samuel BenjaminBankman-Fried, also known as SBF, is an American entrepreneur who founded the FTX cryptocurrency exchange.
FTX founder Sam Bankman-Fried was sentenced to 25 years in prison on Thursday. (Photo: Reuters)
New Delhi,UPDATED: Mar 29, 2024 12:03 IST
Sam Bankman-Fried, once hailed as the 'Crypto King' and who founded the FTX cryptocurrency exchange, faced a dramatic downfall as he was sentenced to 25 years in prison for stealing $8 billion from customers of his now-bankrupt platform.
US District Judge Lewis Kaplan delivered the verdict on Thursday, concluding Bankman-Fried's trial which began after FTX's collapse in 2022.
Who is Sam Bankman Fried?
Samuel Benjamin Bankman-Fried, also known as SBF, is an American entrepreneur who founded the FTX cryptocurrency exchange.
Born on March 5, 1992, in Stanford, California, he studied at MIT and later ventured into cryptocurrency trading. He worked on Wall Street initially before establishing Alameda Research in 2017.
Two years later, he founded FTX cryptocurrency exchange, which later propelled his rise to prominence. FTX allowed users to trade various digital assets,
Why is Sam Bankman Fried called the 'Crypto King'?
Bankman-Fried earned the name'Crypto King' due to his remarkable success with FTX. The exchange became the world's second-largest, facilitating the trade of numerous virtual currencies, including Bitcoin.
The platform helped him shoot to fame and amass a net worth of $26 billion by the age of 30.
His promotional efforts, such as featuring celebrities like Tom Brady and Larry David in advertisem*nts, further solidified FTX's reputation as a safe platform.
Why was Sam Bankman Fried sentenced to 25 years in prison?
The 32-year-old entrepreneur was found guilty on seven counts of fraud and conspiracy, marking one of the biggest financial fraud cases in US history.
Bankman-Fried's legacy of being the posterboy for digital currencies took a turn as he faced convictions on multiple federal charges, including wire fraud and money laundering.
Accused of being the brainchild of an $8 billion fraud, Bankman-Fried's arrest in the Bahamas marked the beginning of a legal battle that ended in a 25-year prison sentence. The case was described by the judge as one of the largest financial frauds in American history.
Published On:
Mar 29, 2024
FAQs
In December 2022, in the middle of the night, 25-year-old Aiden Pleterski was kidnapped in downtown Toronto. His captors released the self-proclaimed "Crypto King" after three days but under threat - Mr Pleterski had to come up with some money, fast, according to court documents.
Who is the king of crypto Sam? ›
Sam Bankman-Fried, the jailed founder of bankrupt cryptocurrency exchange FTX, is sworn in as he appears in court for the first time since his November fraud conviction, at a courthouse in New York, U.S., February 21, 2024 in this courtroom sketch.
Which crypto to buy today for long term? ›
Top 10 Cryptos in 2024
| Coin | Market Capitalization | Current Price |
|---|
| Bitcoin (BTC) | $1.3 trillion | $66,089 |
| Ethereum (ETH) | $359 billion | $2995 |
| Binance Coin (BNB) | $85 billion | $580 |
| Solana (SOL) | $72 billion | $162 |
6 more rows3 days ago
FTX's Original Sin Is a Warning to All of Crypto; Evidence from the criminal trial of Sam Bankman-Fried suggests fraud was built into FTX from the very beginning.
Is the Crypto King in jail? ›
Fallen 'Crypto King' Sam Bankman-Fried gets 25 years for fraud. Sam Bankman-Fried, co-founder of the failed crypto exchange FTX, has been sentenced to 25 years in prison for defrauding customers and investors of his now-bankrupt firm.
What did the Crypto King do wrong? ›
Sam Bankman-Fried, the fallen 'Crypto-King', as he was once known, was sentenced to 25-years in prison for defrauding customers and investors of his now-bankrupt crypto exchange FTX. Thursday's ruling shows how the legal system is trying to clamp down on crypto scams.
Who lost money in FTX? ›
Evan Luthra, an app developer, entrepreneur and angel investor, told CNBC he lost $2 million in the collapse of FTX. Luthra said he knew when FTX filed for bankruptcy protection in late 2022 that he wouldn't have "access to any of this money for the next few years." He continues to speak at crypto conferences.
Who went to jail for Bitcoin? ›
Bankman-Fried, 32, sentenced for fraud on customers of the FTX cryptocurrency exchange he founded. Former crypto tycoon Sam Bankman-Fried has been sentenced to 25 years in United States federal prison for stealing $8bn from customers of the now-bankrupt FTX cryptocurrency exchange he founded.
Who is the billionaire in jail for Bitcoin? ›
Sam Bankman-Fried, co-founder of the failed crypto exchange FTX, has been sentenced to 25 years in prison for defrauding customers and investors of his now-bankrupt firm.
Which crypto will skyrocket? ›
Best Altcoins for Next Bull Run
| Coin | Market Capitalization | Current Price |
|---|
| Ethereum (ETH) | $352.50 billion | $2987.52 |
| Solana (SOL) | $59.55 billion | $143.65 |
| Dogecoin (DOGE) | $0.1294 | $0.147 |
| Cosmos (ATOM-USD) | $8.94 billion | $9.02 |
3 more rowsMay 9, 2024
Top 7 Cryptos to Explode in 2024: BlockDAG, Bitcoin, ADA, XRP, AVAX, MATIC and TRX. The crypto market is set for a transformative phase, with BlockDAG at the forefront, having raised a significant $23.4 million in its latest presale.
What is the next crypto to hit $1 dollar? ›
Which crypto will hit the $1 value next? Pikamoon holds the greatest potential as the next crypto to reach one dollar milestone.
Did FTX customers get their money back? ›
FTX says that nearly all of its customers will receive the money back that they are owed, two years after the cryptocurrency exchange imploded, and some will get more than that. FTX said in a court filing late Tuesday that it owes about $11.2 billion to its creditors.
What is the FBI warning on crypto? ›
The FBI warns Americans against using cryptocurrency money transmitting services that are not registered as Money Services Businesses ( MSB ) according to United States federal law ( 31 U.S.C. § 5330 ; 31 CFR §§ 1010; 1022 ) and do not adhere to anti-money laundering requirements.
Where is Sam Bankman-Fried now? ›
According to Judge Kaplan, Bankman-Fried will serve the remainder of his time behind bars at a medium- or low-security prison in the San Francisco Bay Area. Reports suggested possible locations, including the Federal Correctional Institution (FCI) Herlong and FCI Mendota.
Who is the biggest guy in crypto? ›
For the third year running, Changpeng Zhao, founder and former CEO of crypto exchange Binance, is crypto's wealthiest person.
Who is the godfather of crypto? ›
David Lee Chaum (born 1955) is an American computer scientist, cryptographer, and inventor.
How much is the Crypto King worth? ›
'Crypto king' Aiden Pleterski allegedly operated a Ponzi scheme worth more than $40 million (FilmFreeway).
Who is the leading expert on crypto? ›
Known as CZ, Changpeng Zhao is the founder and CEO of Binance, the world's leading crypto exchange, and one of the most significant crypto influencers come to shape the market. With his charismatic personality and business acumen, CZ has become a key cryptocurrency influencer in the community.
