Sam Bankman-Fried (SBF), the embattled founder of the now-defunct FTX cryptocurrency exchange, is currently fighting an uphill battle on multiple legal fronts, and recent developments suggest he is losing ground. A federal court has set a deadline of March 11 for prosecutors to respond to SBF’s motion for a new criminal trial, following his high-profile conviction on multiple felony counts.
In 2023, SBF was found guilty of seven felony counts and subsequently sentenced to a staggering 25 years in prison in March 2024 for misappropriating billions in customer funds through his trading firm, Alameda Research. His legal team has subsequently submitted an appeal, both contesting the conviction and the length of the sentence, but as of now, the US Court of Appeals for the Second Circuit is yet to issue a ruling.
The crux of SBF’s latest motion centers around claims that new witness testimony could materially strengthen his argument for a retrial, setting this action apart from the ongoing appeal for reconsideration of his conviction.
Despite being behind bars, SBF has attempted to remain active on social media through a proxy, where he has posted a series of messages supportive of former President Donald Trump. These posts, reminiscent of a bid for a presidential pardon, have included critiques of what he describes as a “political bias” in his case.
In a surprising twist, SBF also expressed his backing for the Clarity Act, a proposed legislation aimed at establishing a structured framework for the cryptocurrency market. He insinuated that its passage could be advantageous for Trump, perhaps hoping to curry favor with the administration.
However, this overture received a frosty reception from key political figures. Republican Senator Cynthia Lummis, a staunch advocate for crypto regulation, rebuffed SBF’s endorsement, suggesting that he was misguided in thinking that the Clarity Act would provide him any leniency. “Someone’s looking for a pardon and doesn’t realize the Clarity Act would have you locked up for much longer than 25 years,” Lummis wrote in a vehement post.
Democrat Senator Elizabeth Warren also criticized SBF, branding him a “fraudster who stole at least $8 billion from customers,” further amplifying sentiments that his legislative endorsement should raise significant alarm.
The chances of the Clarity Act being signed into law have notably dipped, reducing by approximately 16% within the past week according to prediction market Polymarket, which now places its probability at 69% for passage by year-end.
As for SBF’s hopes for a pardon, the landscape looks equally bleak. The White House has firmly reiterated that Trump does not intend to grant him clemency—from a January interview with the New York Times to a recent report from Fortune.
Though Trump has offered pardons to other crypto personalities, such as former Binance CEO Changpeng Zhao and Silk Road founder Ross Ulbricht, SBF finds himself excluded from this list. Meanwhile, other key figures in the FTX saga, including former Alameda CEO Caroline Ellison, who testified against SBF, have begun to see the light of day after serving their time.
As the trial proceedings move forward, attention will remain glued to March 11, when prosecutors are expected to respond to SBF’s new trial motion, a pivotal moment in a case that continues to capture headlines and stir debate across the crypto community.
