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Sam Bankman-Fried, the imprisoned founder of collapsed crypto exchange FTX, has officially asked President Donald Trump to pardon him — a move that adds a political dimension to what is already one of the most complex legal sagas in cryptocurrency history.
The clemency request appeared on the US Department of Justice’s Office of the Pardon Attorney website, listed among pending applications as of June 1. It is categorized as a “pardon after completion of sentence,” even as Bankman-Fried remains incarcerated and continues to appeal his 25-year prison sentence handed down following his 2023 conviction.
A Long Shot at the White House
The pardon bid faces an obvious hurdle: Trump himself. When asked in a January New York Times interview whether he would pardon Bankman-Fried, the president was blunt — “No, I don’t plan to.”
That hasn’t stopped the former FTX chief from publicly warming to the administration. In recent months, Bankman-Fried has been posting social media messages that lean favorably toward Trump, including remarks noting the S&P 500’s continued climb during his second term. Whether that reflects genuine admiration or calculated outreach ahead of a pardon appeal is an open question.
Courts Have Already Said No
The presidential pardon push follows a string of courtroom setbacks. Bankman-Fried previously sought a new trial in Manhattan federal court, arguing that fresh witness testimony could unravel the government’s case against him. Judge Lewis Kaplan — who oversaw the original trial — denied the motion. His broader appeal remains ongoing.
In November 2023, a jury found Bankman-Fried guilty on seven counts, including fraud, conspiracy, and money laundering. Prosecutors argued he orchestrated the systematic misuse of customer deposits at FTX and affiliated trading firm Alameda Research. He has maintained throughout that he did not commit criminal fraud.
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The Wider Fallout From FTX
FTX’s collapse in late 2022 wiped out billions in customer funds and rattled confidence across the crypto industry. Several of Bankman-Fried’s former colleagues have since served or are serving prison time.
Caroline Ellison, former CEO of Alameda Research and a pivotal witness for the prosecution, received a two-year sentence and was released in January. The SEC subsequently barred her from holding executive roles at any publicly traded company or digital asset exchange for a decade.
Ryan Salame, who served as co-CEO of FTX’s Bahamian affiliate, was sentenced to 90 months after pleading guilty to conspiracy charges involving illegal political contributions and operating an unlicensed money-transmitting business.
The Bottom Line
Bankman-Fried is pursuing every available avenue — courts, appeals, and now the White House — to reduce or escape his sentence. With Trump on record opposing a pardon and multiple legal efforts already turned away, his path to freedom remains steep. The pardon application nonetheless keeps his case in the public eye as the crypto industry continues to reckon with the consequences of FTX’s collapse.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
