Prosecutors Bolster Crime Crackdown Post-SBF Guilty Verdict

Sam Bankman-Fried’s conviction ignites a renewed drive for U.S. prosecutors to combat crypto crimes.

Two criminals getting cought messing with someones computer.
Created by Kornelija Poderskytė from DailyCoin
  • United States prosecutors are bolstering efforts to curb cryptocurrency crimes.
  • Sam Bankman-Fried was recently declared guilty by the U.S New York District Court.
  • The former CEO potentially faces a prison sentence of up to 115 years.

The high-stakes trial involving disgraced CEO Sam Bankman-Fried (SBF) for one of the most notorious fraud cases has recently concluded with a unanimous guilty verdict of a seven-count charge.

In the wake of his conviction, the United States prosecutors have reaffirmed their determination to crack down on more criminal activities within the cryptocurrency industry.

“Handcuffs” for All Crypto Fraudsters 

Following the final verdict of Sam Bankman-Fried’s trial on November 2nd, U.S. prosecutors doubled down on their stance against crypto-related crimes, asserting their dedication to bringing more crooks to justice.

Attorney General Merrick Garland stated, “This case should send a clear message to anyone who tries to hide their crimes behind a shiny new thing they claim no one else is smart enough to understand: the Justice Department will hold you accountable.”

U.S. Attorney for the Southern District of New York Damian Williams also emphasized that Bankman-Fried’s conviction is a “warning” to malicious actors within the industry, underlining that the U.S. federal agents and lawyers have “handcuffs for all” fraudsters and crooks.

He further stated, “This kind of fraud, this kind of corruption is as old as time,” asserting that while the cryptocurrency industry and players like Sam Bankman-Fried may be relatively new, fraud and corruption have been enduring issues throughout history. 

What Did SBF Do?

The rise and fall of the once golden boy Sam Bankman Fried and his now-defunct exchange FTX stunned the global cryptocurrency industry.

On November 11, 2022, FTX filed for Chapter 11 bankruptcy for its more than 130 companies, including FTX.com, Alameda Research, and FTX US, with a creditor list of over  8.9 billion owed to creditors.

With an outstanding debt of more than $8.9 billion owed to creditors, the U.S. Department of Justice launched a probe into the disgraced CEO to unravel the events leading up to the bankruptcy. 

SBF and his attorneys maintained innocence throughout the trial and pleaded not guilty to all charges. However, testimonies from the key witnesses, including his associates Caroline Ellison and Nishad Singh, exposed the level of his misconduct, strengthening the charges leveled against him. 

On the Flipside

  • The guilty verdict declared by the jury in the FTX trial has rekindled an additional potential charge for SBF as it puts his fraudulent political donations back in focus.
  • The final sentencing for SBF is scheduled for March 2024, as he faces up to 115 years behind bars.
  • SBF’s legal team expressed disappointment with the verdict and is expected to appeal.

Why This Matters

The statements reaffirm the United States prosecutors’ determination to bolster efforts to ensure fraudulent actors are brought to justice and investor protection remains a top priority.

To dive deeper into the final verdict of Sam Bankman-Fried, read here:

SBF Guilty On Multiple Charges, Awaits Sentence in 2024 

Taiwan is bolstering regulatory efforts and cracking down on crypto ‘bad guys’ in the region. Read more: 

Taiwan Smashes Crypto Laundering Ring Amid Regulatory Shift 

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
Grace Abidemi

Grace Abidemi, a cryptocurrency reporter at DailyCoin, covers industry developments and trends. She previously worked as a freelance writer. With a Bachelor's degree in German Language and certifications in marketing and storytelling, Grace creates engaging content. When not working, she's in Nigeria, mastering cooking and canvas painting, and enjoys learning about different cultures and languages.