Latest news with #Bankman-Fried
Yahoo
05-06-2025
- Business
- Yahoo
Anthony Scaramucci Says Sam Bankman-Fried's 25-Year Sentence Is 'Too Steep'
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. Anthony Scaramucci, the founder of SkyBridge Capital and former White House communications director, has expressed concern over the length of Sam Bankman-Fried's prison sentence, calling the 25-year term excessive despite being personally impacted by the collapse of FTX. "Is 25 years too steep of a price? I think it is," Scaramucci said during an interview with Crypto in America. "I think it's too steep of a price for what he did." Bankman-Fried, the founder of cryptocurrency exchange FTX, was sentenced to 25 years in federal prison in March 2024 for orchestrating one of the largest financial frauds in recent history. Don't Miss: Trade crypto futures on Plus500 with up to $200 in bonuses — no wallets, just price speculation and free paper trading to practice different strategies. Grow your IRA or 401(k) with Crypto – unlock the power of alternative investments including a Crypto IRA within your retirement account. A federal jury had convicted him in November 2023 on seven criminal counts, including wire fraud and conspiracy to commit money laundering. Prosecutors alleged he misused billions of dollars in customer deposits to fund speculative investments, political contributions, and luxury real estate purchases. Scaramucci's comments come as a surprise given his direct involvement as an investor and victim of the FTX scandal. "Even though he harmed me, guys, I'm a victim of his crime," Scaramucci noted. "The guy really hurt my reputation. He hurt my business. I'm still entangled in the goddamn thing, you know?" Despite the personal damage, Scaramucci stated he does not hold resentment toward Bankman-Fried. "But I don't have anything other than a bad feeling for Sam. I don't have a vengeful feeling for him or anything like that," he added. While Scaramucci said he would not support a presidential pardon, he did indicate support for a reduced sentence. "Commuting his sentence or reducing his sentence would be something that if someone came to me and said, 'Hey, would you reduce his sentence?' I would say yes," he said. Bankman-Fried's sentencing followed a high-profile trial that became a defining moment in crypto's legal reckoning in the United States. Once a prominent figure in the digital asset space, Bankman-Fried's downfall sent shockwaves through the industry, eroding investor trust and prompting renewed regulatory scrutiny. Read Next: New to crypto? Get up to $400 in rewards for successfully completing short educational courses and making your first qualifying trade on Coinbase. A must-have for all crypto enthusiasts: Sign up for the Gemini Credit Card today and earn rewards on Bitcoin Ether, or 60+ other tokens, with every purchase. Image: Shutterstock This article Anthony Scaramucci Says Sam Bankman-Fried's 25-Year Sentence Is 'Too Steep' originally appeared on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
05-06-2025
- Business
- Yahoo
FTX Limited Series a Go at Netflix With Julia Garner, Anthony Boyle Starring
Netflix has greenlit a series about the rise and fall of cryptocurrency exchange FTX and the two central figures involved — Sam Bankman-Fried and Caroline Ellison. The streamer has formally ordered The Altruists, which will chronicle how Bankman-Fried and Ellison 'two hyper-smart, ambitious young idealists tried to remake the global financial system in the blink of an eye — and then seduced, coaxed, and teased each other into stealing $8 billion.' Julia Garner, who had been in talks to star in the drama, and Anthony Boyle will play Ellison and Bankman-Fried, respectively. More from The Hollywood Reporter 'The Thursday Murder Club' Is on the Case in Teaser for Chris Columbus Netflix Movie John Mulaney's Fight With Three 14-Year-Olds Was a Bit of a Letdown - Because It Had to Be Netflix, BBC Studios Team on Comedy Podcast 'The Big Pitch With Jimmy Carr' Graham Moore (The Imitation Game, The Outfit) and Jacqueline Hoyt (The Leftovers, The Underground Railroad) will serve as co-showrunners on the series. James Ponsoldt (Shrinking) is set to direct. The Altruists comes from Barack and Michelle Obama's Higher Ground Productions, which has an overall deal at Netflix. 'For nearly three years now, Sam and Caroline's story has been my daily obsession,' said Moore. 'I'm so grateful to my friends at Netflix and Higher Ground for loving this story not only as much as I do, but in the same way that I do. And we can't wait to show all of you why.' FTX went under in late 2022 after a run on customer withdrawals at the crypto exchange brought to light an $8 billion imbalance in its books. Bankman-Fried was convicted in November 2023 on seven charges of fraud and conspiracy; Ellison, who was co-CEO of a related hedge fund, Alameda Research — and Bankman-Fried's former girlfriend — testified against him after pleading guilty to other charges. The Altruists brings Garner back to Netflix, where she won three Emmys for her role on Ozark and also was nominated for Inventing Anna. She'll next be seen in The Fantastic Four: First Steps, where she plays the Silver Surfer, when the Marvel movie hits theaters in July. Boyle's credits include FX's Say Nothing and Apple's Masters of the Air and Manhunt. Moore, Hoyt and Ponsoldt will executive produce the series with Vinnie Malhotra and Jessie Dicovitsky for Higher Ground, Scoop Wasserstein for New York Magazine/Vox Media Studios, Tonia Davis, Lauren Morelli and Garner. The Altruists is one of several TV and film projects delving into Bankman-Fried and FTX. Lena Dunham is writing a feature film for Apple and A24, and Amazon's Prime Video ordered a limited series from Joe and Anthony Russo's AGBO and writer David Weil shortly after FTX imploded. On the nonfiction side, Mark Wahlberg's Unrealistic Ideas and Fortune magazine are teaming on a documentary, and Bloomberg has also produced a doc about the company's collapse. Best of The Hollywood Reporter 'The Studio': 30 Famous Faces Who Play (a Version of) Themselves in the Hollywood-Based Series 22 of the Most Shocking Character Deaths in Television History A 'Star Wars' Timeline: All the Movies and TV Shows in the Franchise
NBC News
08-05-2025
- Business
- NBC News
Celsius CEO Alex Mashinsky sentenced to 12 years in multibillion-dollar crypto fraud case
Alexander Mashinsky, the former CEO of Celsius Network, was sentenced to 12 years in prison on Thursday after pleading guilty to two counts of fraud, a dramatic fall for the leader of a company once hailed as the 'bank' of the crypto industry. Standing before U.S. District Judge John G. Koeltl in Manhattan's Southern District, Mashinsky faced the consequences of what prosecutors described as a sweeping scheme to defraud investors. In December he pleaded guilty to commodities fraud and a scheme to manipulate the Celsius token. His sentencing took place in courtroom 14A at 500 Pearl Street — a venue that has seen several crypto executives-turned-felons. Mashinsky's legal troubles began in 2023 when he was arrested on charges of securities, commodities, and wire fraud, just as Celsius reached a $4.7 billion settlement with the Federal Trade Commission — one of the largest in the FTC's history. The settlement, which remains contingent on Celsius returning what remains of customer assets in bankruptcy proceedings, underscored the magnitude of the fraud. Prosecutors accused Mashinsky of misleading investors about the safety and profitability of Celsius's yield-generating platform while secretly selling off tens of millions of dollars in personal holdings. Though he initially denied wrongdoing, his guilty plea and Thursday's sentencing mark the final chapter in a years-long case that also drew charges from the Securities and Exchange Commission and the Commodity Futures Trading Commission, which accused Celsius and Mashinsky of orchestrating a multi-billion dollar fraud scheme. Mashinsky's downfall mirrors the fate of other once-dominant crypto executives like FTX founder Sam Bankman-Fried, Binance's Changpeng Zhao and Do Kwon of Terraform Labs. FTX Bankman-Fried was sentenced to 25 years in prison in March 2024 for the massive fraud and conspiracy that doomed his cryptocurrency exchange and a related hedge fund, Alameda Research. Once celebrated as a crypto wunderkind, Bankman-Fried was exposed for misappropriating billions of dollars in customer funds to support his own trading firm, Alameda Research, and for living an extravagant lifestyle in Hong Kong and later the Bahamas. Caroline Ellison, who led Alameda Research and was romantically involved with Bankman-Fried, received a significantly lighter sentence of two years. Her cooperation with prosecutors proved crucial in unraveling the complex web of fraudulent activities at FTX, allowing authorities to build a strong case against Bankman-Fried and other executives. Bankman-Fried is in the process of appealing his conviction and sentence. Ryan Salame, a former top lieutenant of FTX founder Sam Bankman-Fried, was sentenced to 90 months, followed by three years of supervised release. FTX engineering chief Nishad Singh got no jail time and three years of supervised release for his role in the crypto fraud; and Gary Wang, the co-founder and chief technology officer of FTX, also avoided prison time. In May 2024, the bankruptcy estate of FTX announced that almost all customers would get their money back — and more. A judge on Wednesday dismissed most of the claims against celebrities and athletes who were involved in promoting FTX in commercials and on other platforms. Stars like Tom Brady, Gisele Bündchen, Kevin O'Leary and Stephen Curry were among those facing a suit brought by a group of FTX investors. Binance In November 2023, Zhao, commonly known as 'CZ,' struck a deal with the U.S. government to resolve a multiyear investigation into Binance, the world's largest cryptocurrency exchange. Zhao stepped down as CEO in 2023 but retained a significant stake in Binance. In April 2024, Binance's billionaire founder was sentenced to four months in prison after pleading guilty to charges of enabling money laundering at his crypto exchange. He served his sentence at a low-security federal prison in Lompoc, California. Under new leadership, Binance has undergone a strategic pivot, aligning closely with the Trump administration's pro-crypto stance. CEO Richard Teng described President Donald Trump's second term as a 'fantastic reset' for the cryptocurrency industry, noting a dramatically improved regulatory environment for Binance in the U.S. Terraform Labs Months before Bankman-Fried and the FTX fraud was exposed, and years before Binance and its founder would admit fault and settle with the U.S. for several billion dollars, Kwon was widely regarded as crypto's top villain for nearly dismantling the entire sector with his failed U.S. dollar-pegged stablecoin. It was May 2022, and Kwon was riding high. His company, Terraform Labs, was behind one of the most popular U.S.-pegged stablecoins on the planet, the venture funding was rolling in, his coins (dubbed terra and luna) were collectively worth tens of billions of dollars, and like Bankman-Fried, Kwon had landed a spot on the prestigious Forbes 30 under 30 list. And then it all came crashing down. Whereas most stablecoins are backed up by a mix of cash and other assets to match the value of tokens in circulation, Kwon's invention was instead backed by a complex set of code. When the algorithm failed in May 2022, it cost investors $40 billion in market value overnight, led to devastating losses to multiple investors, and contributed to the collapse of hedge fund Three Arrows Capital in June 2022, followed by crypto lenders Voyager Digital, then BlockFi, then Genesis — and, in a roundabout way, FTX too. The stablecoin's implosion also rocked confidence in the sector and accelerated the slide in cryptocurrencies already underway as part of a broader pullback from risk. Last June, a judge signed off on Do Kwon and his bankrupt Terraform Labs settling with the U.S. Securities and Exchange Commission for $4.5 billion. Kwon was extradited to the U.S. from Montenegro to face fraud charges in January 2025. Ex-crypto tycoons awaiting judgement The fall of crypto hedge fund Three Arrows Capital, and lenders Voyager Digital and Celsius, can all be traced to the collapse of Kwon's stablecoin project. When 3AC's lenders asked for some of their cash back in a flood of margin calls, the money wasn't there. Many of the firm's counterparties were, in turn, unable to meet demands from their investors, including retail holders who had been promised annual returns of 20%. The three companies all went bankrupt and are currently at various stages of settling their debts, with Celsius having just emerged from bankruptcy in January. 3AC co-founder Kyle Davies said he's not sorry for the collapse of his fund, and has so far managed to avoid jail time by bouncing around the world, unlike his co-founder, Su Zhu, who served time in a Singaporean prison.
CNBC
08-05-2025
- Business
- CNBC
Celsius CEO Alex Mashinsky sentenced to 12 years in multi-billion-dollar crypto fraud case
Alexander Mashinsky, the former CEO of Celsius Network, was sentenced to 12 years in prison on Thursday after pleading guilty to two counts of fraud, a dramatic fall for the onetime leader of a company once hailed as the "bank" of the crypto industry. Standing before U.S. District Judge John G. Koeltl in Manhattan's Southern District, Mashinsky faced the consequences of what prosecutors described as a sweeping scheme to defraud investors. In December he pleaded guilty to commodities fraud and a scheme to manipulate the Celsius token. His sentencing took place in courtroom 14A at 500 Pearl Street — a venue that has seen several crypto executives-turned-felons. Mashinsky's legal troubles began in 2023 when he was arrested on charges of securities, commodities, and wire fraud, just as Celsius reached a $4.7 billion settlement with the Federal Trade Commission — one of the largest in the FTC's history. The settlement, which remains contingent on Celsius returning what remains of customer assets in bankruptcy proceedings, underscored the magnitude of the fraud. Prosecutors accused Mashinsky of misleading investors about the safety and profitability of Celsius's yield-generating platform while secretly selling off tens of millions of dollars in personal holdings. Though he initially denied wrongdoing, his guilty plea and Thursday's sentencing mark the final chapter in a years-long case that also drew charges from the Securities and Exchange Commission and the Commodity Futures Trading Commission, which accused Celsius and Mashinsky of orchestrating a multi-billion dollar fraud scheme. Mashinsky's downfall mirrors the fate of other once-dominant crypto executives like FTX founder Sam Bankman-Fried, Binance's Changpeng Zhao and Do Kwon of Terraform Labs. Bankman-Fried was sentenced to 25 years in prison in March 2024 for the massive fraud and conspiracy that doomed his cryptocurrency exchange and a related hedge fund, Alameda Research. Once celebrated as a crypto wunderkind, Bankman-Fried was exposed for misappropriating billions of dollars in customer funds to support his own trading firm, Alameda Research, and for living an extravagant lifestyle in Hong Kong and later the Bahamas. Caroline Ellison, who led Alameda Research and was romantically involved with Bankman-Fried, received a significantly lighter sentence of two years. Her cooperation with prosecutors proved crucial in unraveling the complex web of fraudulent activities at FTX, allowing authorities to build a strong case against Bankman-Fried and other executives. Bankman-Fried is in the process of appealing his conviction and sentence. Ryan Salame, a former top lieutenant of FTX founder Sam Bankman-Fried, was sentenced to 90 months, followed by three years of supervised release. FTX engineering chief Nishad Singh got no jail time and three years of supervised release for his role in the crypto fraud; and Gary Wang, the co-founder and chief technology officer of FTX, also avoided prison time. In May 2024, the bankruptcy estate of FTX announced that almost all customers would get their money back — and more. A judge on Wednesday dismissed most of the claims against celebrities and athletes who were involved in promoting FTX in commercials and on other platforms. Stars like Tom Brady, Gisele Bündchen, Kevin O'Leary and Stephen Curry were among those facing a suit brought by a group of FTX investors. In November 2023, Zhao, commonly known as "CZ," struck a deal with the U.S. government to resolve a multiyear investigation into Binance, the world's largest cryptocurrency exchange. Zhao stepped down as CEO in 2023 but retained a significant stake in Binance. In April 2024, Binance's billionaire founder was sentenced to four months in prison after pleading guilty to charges of enabling money laundering at his crypto exchange. He served his sentence at a low-security federal prison in Lompoc, California. Under new leadership, Binance has undergone a strategic pivot, aligning closely with the Trump administration's pro-crypto stance. CEO Richard Teng described President Donald Trump's second term as a "fantastic reset" for the cryptocurrency industry, noting a dramatically improved regulatory environment for Binance in the U.S. Months before Bankman-Fried and the FTX fraud was exposed, and years before Binance and its founder would admit fault and settle with the U.S. for several billion dollars, Kwon was widely regarded as crypto's top villain for nearly dismantling the entire sector with his failed U.S. dollar-pegged stablecoin. It was May 2022, and Kwon was riding high. His company, Terraform Labs, was behind one of the most popular U.S.-pegged stablecoins on the planet, the venture funding was rolling in, his coins (dubbed terra and luna) were collectively worth tens of billions of dollars, and like Bankman-Fried, Kwon had landed a spot on the prestigious Forbes 30 under 30 list. And then it all came crashing down. Whereas most stablecoins are backed up by a mix of cash and other assets to match the value of tokens in circulation, Kwon's invention was instead backed by a complex set of code. When the algorithm failed in May 2022, it cost investors $40 billion in market value overnight, led to devastating losses to multiple investors, and contributed to the collapse of hedge fund Three Arrows Capital in June 2022, followed by crypto lenders Voyager Digital, then BlockFi, then Genesis — and, in a roundabout way, FTX too. The stablecoin's implosion also rocked confidence in the sector and accelerated the slide in cryptocurrencies already underway as part of a broader pullback from risk. Last June, a judge signed off on Do Kwon and his bankrupt Terraform Labs settling with the U.S. Securities and Exchange Commission for $4.5 billion. Kwon was extradited to the U.S. from Montenegro to face fraud charges in January 2025. The fall of crypto hedge fund Three Arrows Capital, and lenders Voyager Digital and Celsius, can all be traced to the collapse of Kwon's stablecoin project. When 3AC's lenders asked for some of their cash back in a flood of margin calls, the money wasn't there. Many of the firm's counterparties were, in turn, unable to meet demands from their investors, including retail holders who had been promised annual returns of 20%. The three companies all went bankrupt and are currently at various stages of settling their debts, with Celsius having just emerged from bankruptcy in January. 3AC co-founder Kyle Davies said he's not sorry for the collapse of his fund, and has so far managed to avoid jail time by bouncing around the world, unlike his co-founder, Su Zhu, who served time in a Singaporean prison. This self-driving car technology stock could pop by more than 400%, say three analysts Looking for alternatives to Nvidia? Futurum CEO names 3 he's bullish on for 2024 Bernstein tech analyst's best idea for 2024 is to short Tesla Morgan Stanley picks 'alpha' opportunities in China tech - giving one 52% upside
Yahoo
08-05-2025
- Business
- Yahoo
Tom Brady, Stephen Curry and other big names are mostly off the hook from the FTX fallout
A Florida federal judge has dismissed most of the claims against marquee celebrities and influencers who pushed the now-defunct cryptocurrency exchange FTX. Stars like New England Patriots quarterback Tom Brady, model Gisele Bündchen, Canadian TV personality Kevin O'Leary, and basketball standout Stephen Curry were among those who promoted FTX, which collapsed spectacularly in 2022, causing investors to lose billions. A group of FTX investors claimed that the celebs should be held liable in a suit filed shortly after the exchange's collapse. 'None of these defendants performed any due diligence prior to marketing these FTX products to the public,' according to the original lawsuit. However, in an order filed Wednesday, U.S. District Judge K. Michael Moore found that the plaintiffs failed to show that the celebrities and YouTubers named in the lawsuit had insufficient knowledge of FTX and CEO Sam Bankman-Fried's business to be held liable for promoting the exchange. According to a New York Times report, Brady received $30 million in now-worthless stock for pitching the company in television ads and at its conference. Brady's then-wife, Gisele Bündchen, received $18 million in stock, per the report. All shares are now worthless. Sam Bankman-Fried, also known as 'SBF,' launched the cryptocurrency exchange FTX in 2019. As the COVID-19 pandemic later boosted cryptocurrency trading worldwide, FTX rode the wave. In 2020, FTX purchased Blockfolio, the market's leading mobile news and portfolio tracking app, for $150 million. Bankman-Fried appeared as a speaker at various crypto and blockchain conferences, attracting a large following. But in November 2022, the crypto news website CoinDesk reported on FTX's poor balance sheet and liquidity crisis. Big names such as cryptocurrency exchange Binance opted not to provide any support to FTX or Bankman-Fried. FTX quickly collapsed, resulting in a loss of $10 billion in customer funds. This had a ripple effect on other crypto companies, throwing them into financial turmoil. Several companies with direct or indirect connections to FTX — including BlockFi, Voyager, Celsius, Genesis, and Gemini — went bankrupt in a matter of weeks. The cryptocurrency market saw its darkest period to-date, resulting in a loss of more than $1 trillion, and Bitcoin's price dropped below $18,000. In November of 2023, a federal jury in New York convicted Bankman-Fried of fraud on seven different fraud and conspiracy charges and stealing at least $10 billion from customers and investors. —Vinamrata Chaturvedi contributed to this article. For the latest news, Facebook, Twitter and Instagram.
