US Appeals Court Upholds Sam Bankman-Fried's 25-Year Sentence

Sam Bankman-Fried will remain in federal custody under the 25-year prison term imposed after the collapse of crypto exchange FTX, after a US appeals court declined to overturn his conviction. A unanimous three-judge panel of the US Court of Appeals for the Second Circuit rejected his appeal, calling the government's case "conservatively stated" and "robust," Reuters reported. The ruling leaves intact the 2024 sentence tied to fraud and conspiracy charges stemming from FTX's multibillion-dollar failure. In written remarks cited in coverage, Judge Barrington Parker highlighted the gap between Bankman-Fried's public assurances and the conduct alleged at trial. The opinion said that while he told customers, investors and regulators that client funds were safe, he used FTX as "his own personal piggy bank," including spending customer money on real estate, political contributions and investments. The setback on appeal does not end his bid for relief. Bankman-Fried is also pursuing clemency through the presidential pardon process. Cointelegraph previously reported that a formal pardon request was submitted and appeared in early June on the US Department of Justice Office of the Pardon Attorney website. Bankman-Fried told Fox Business he is "absolutely" seeking a pardon. Public comments suggest the path may be steep. Reporting referenced in the article said President Donald Trump told The New York Times in January that he had no plans to pardon Bankman-Fried. A White House spokesperson declined to comment on the request, while Bloomberg pointed back to Trump's earlier remarks after the application became public. Trump has issued high-profile pardons, including for Ross Ulbricht, founder of the darknet marketplace Silk Road. Ulbricht had been serving two life sentences plus 40 years before receiving a pardon in January 2025. The comparison is frequently raised in discussions of political feasibility, though the two cases carry different narratives and political dynamics. For the broader crypto legal landscape, the Second Circuit decision reinforces that major exchange failures and related conduct can be treated as criminal matters capable of withstanding appellate review. With the conviction affirmed, additional relief through the courts appears limited, shifting attention toward the discretionary clemency track and any signals about the president's stance as the DOJ pardon process continues.