Breaking News: Former President Donald Trump has officially ruled out granting a pardon to embattled FTX co-founder, Sam Bankman-Fried, once a notable figure in the cryptocurrency world. Bankman-Fried is currently serving a 25-year sentence after being convicted of fraud and conspiracy tied to the mismanagement of billions in customer funds at FTX.
The Backstory: From Crypto Empire to Conviction
Sam Bankman-Fried was once a rising star in the cryptocurrency industry, leading FTX, a now-defunct crypto exchange platform. However, his career took a dramatic turn in 2023 when he was convicted on multiple fraud and conspiracy charges. These charges stemmed from the misappropriation of funds that caused massive financial losses for FTX customers. In March 2024, he was sentenced to 25 years in prison and has since appealed his conviction and sentence.
Reports surfaced that Bankman-Fried’s parents, in a bid to secure his release, held multiple meetings with lawyers and influential individuals in January 2025 to explore pardon possibilities. Despite these efforts, Trump’s position on this matter remains firm.
Trump’s Crypto-Friendly Track Record
Trump’s stance on cryptocurrency has been nuanced over the years. During his presidency, he granted clemency to several high-profile crypto figures, including Ross Ulbricht, founder of the infamous Silk Road darknet marketplace, and co-founders of BitMEX. In another noteworthy case, he pardoned Binance founder Changpeng ‘CZ’ Zhao, who had faced legal action during the Biden administration’s crackdown on cryptocurrency-related activities.
When questioned about these past pardons, a White House representative in 2025 stated that the moves were “a part of his constitutional authority” and aimed to counter what was called the “Biden Administration’s war on cryptocurrency.”
Trump Draws the Line
In an interview with The New York Times, Trump commented on his refusal to grant clemency to Bankman-Fried, signaling that fraud of this scale could not be overlooked. He contrasted this case with his previous support for the cryptocurrency industry, explaining that his earlier interventions were politically and strategically motivated as a means to counter China’s dominance in global crypto leadership.
“I got a lot of votes because I backed crypto, and I got to like it,” Trump stated. “China wanted it, and one of us was going to get it.”
The Bigger Picture
Trump’s decision to reject a pardon for Bankman-Fried serves as a reminder of the ethical and financial scrutiny surrounding the cryptocurrency industry. As regulatory bodies worldwide seek to limit grey areas in the crypto space, this case highlights the potential repercussions of market misconduct.
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Stay tuned for the latest developments in cryptocurrency and finance, as we continue to provide in-depth updates and insights.
