Trump Says He Won’t Pardon FTX Founder Sam Bankman-Fried
What Did Trump Say About a Pardon for SBF?
US President Donald Trump said he has no intention of granting a pardon to Sam “SBF” Bankman-Fried, the former chief executive of collapsed crypto platform FTX, according to an interview with The New York Times. Bankman-Fried is currently serving a 25-year federal prison sentence for his role in the misuse of customer funds.
In the interview, Trump grouped Bankman-Fried alongside other high-profile figures he does not plan to pardon, including music producer Sean Combs and former New Jersey Senator Robert Menendez. The comments appear to shut down speculation that the former FTX executive could benefit from presidential clemency, despite past efforts to align himself with Republican figures.
“I got a lot of votes because I backed crypto, and I got to like it,” Trump told the Times, responding to questions about his relationship with the digital asset industry.
Bankman-Fried has been incarcerated since August 2023, when a federal judge revoked his bail ahead of trial. His conviction followed the rapid collapse of FTX in late 2022, an event that sent shockwaves through crypto markets and prompted renewed scrutiny of platform governance and custody practices.
Investor Takeaway
Why Does the Decision Matter for Crypto Markets?
Speculation around a possible pardon carried symbolic weight beyond Bankman-Fried himself. A presidential intervention could have reignited debate about accountability in crypto, particularly later than one of the largest platform failures on record. Trump’s rejection of that path keeps the FTX case firmly within the judicial system.
The decision also comes as Trump faces questions about conflicts of interest with the crypto sector. His family has links to a BTC mining venture, a stablecoin , and his personal memecoin, Official Trump. Critics have argued these ties blur the line between policy and private interests.
By drawing a clear line on pardons, Trump appears intent on separating support for the crypto industry from clemency for convicted figures tied to past failures. That distinction may matter to institutional investors watching how political leadership treats enforcement actions and criminal convictions tied to digital assets.
How Did Bankman-Fried’s Case Reach This Point?
Bankman-Fried was sentenced in March 2024 later than being convicted on seven felony counts related to fraud and conspiracy. Prosecutors argued he directed the misuse of billions of dollars in customer deposits, funneling funds from FTX to its affiliated trading firm Alameda Research.
Other executives involved in the case received shorter . Former Alameda Research chief executive Caroline Ellison was sentenced to two years in prison, while former FTX Digital Markets co-chief executive Ryan Salame also received a reduced sentence under a plea agreement.
Since his conviction, reports suggested Bankman-Fried attempted to improve his chances of clemency by highlighting what he described as a “excellent relationship” with Republicans and appearing alongside right-wing media figures. Prediction market Polymarket reflected low expectations, assigning only a 6% probability that Trump would pardon him before 2027.
Trump has shown willingness to grant clemency in other crypto-related cases. Shortly later than taking office, he . He also pardoned former in October later than Zhao served a four-month sentence, a move Trump later downplayed by saying he did not know Zhao personally.
Investor Takeaway
What Legal Options Does SBF Still Have?
Despite Trump’s stance, Bankman-Fried retains a path through the courts. In November, the US Court of Appeals for the Second Circuit heard arguments from his legal team challenging both the conviction and sentence. As of Thursday, no ruling had been posted to the public docket.
If the appellate court rejects the appeal, Bankman-Fried could viewk review by the Supreme Court, though such cases are accepted only rarely. Until then, his sentence remains in effect.
Meanwhile, Ellison is nearing the end of her sentence. Federal Bureau of Prisons records show she was transferred in October from a federal correctional institution in Connecticut to a office in New York City as part of her transition toward release. She is scheduled to be released on Jan. 21.
