Founder of failed crypto exchange FTX, Bankman-Fried, jailed in New York
MarketWatchAug 11, 2023
The Facts
On Monday, federal US prosecutors filed a new indictment against the founder of bankrupt cryptocurrency exchange FTX, Sam Bankman-Fried, charging the 31-year-old with seven counts of conspiracy and fraud.
According to the indictment, Bankman-Fried used stolen customer funds to make over $100M in campaign contributions before the 2022 US midterm elections.
The Spin
Narrative A
It's Bankman-Fried's First Amendment right to make sure his reputation as a crypto wiz isn't dragged through the mud — he's entitled to speak with journalists or anyone that can help his cause. It's already been made difficult for him to prepare his defense, due to limitations on his internet and phone usage. His sentence should be overturned upon appeal.
Narrative B
Bankman-Fried had a cushy setup that most of those criminally charged would only dream off, yet he proceeded to violate several restrictions placed on him while he awaited trial. His entitlement got the best of him, and no judge could ignore how his actions might potentially affect his ability to receive a fair trial. He must be held accountable.
Nerd narrative
There's a 50% chance that Sam Bankman-Fried will be sentenced to at least 161 months in prison before 2026, according to the Metaculus prediction community.