Sam Bankman-Fried Prepares for November Appeal Hearing Over FTX Conviction
Sam Bankman-Fried, the former CEO of FTX, will face the U.S. Court of Appeals for the Second Circuit on 4 November as he pursues an appeal of his 2023 conviction on seven felony counts, including fraud and conspiracy.
The hearing represents the first major movement in the high-profile case since Bankman-Fried was transferred from a New York facility to California’s Federal Correctional Institution at Terminal Island in March.
His 25-year sentence, with a projected release in 2044, remains one of the harshest handed down to a figure in the cryptocurrency sector.
Appeal Argues Trial Was Unfair and Customer Funds Misrepresented
Bankman-Fried’s legal team filed a notice of appeal in April 2024 and followed up in September, claiming the former CEO “was never presumed innocent” and that prosecutors built a “false narrative” portraying FTX customer funds as permanently lost.
Should the appeals court rule in his favour, it could lead to a new trial or a resentencing, though analysts note overturning the conviction will be difficult given extensive testimony from former FTX executives.
FTX Collapse Remains One of Crypto’s Largest Financial Scandals
FTX filed for bankruptcy in November 2022 after severe liquidity problems left millions of users’ funds inaccessible.
Several top executives, including former Alameda Research CEO Caroline Ellison, co-founder Gary Wang, and former engineering director Nishad Singh, received lighter sentences after cooperating with prosecutors.
Ellison, who pleaded guilty and testified at Bankman-Fried’s trial, was sentenced to two years in prison and is expected to be released in March 2026.
Wang and Singh were sentenced to time served, while Ryan Salame received over seven years following a complicated legal battle over his plea agreement.
Bankman-Fried, who maintained a not guilty plea, received the longest sentence.
Prison Life and Political Speculation Around a Pardon
Since March 2025, Bankman-Fried has been serving his sentence in California.
Reports have suggested he may pursue a presidential pardon from Donald Trump.
In a February interview, he indicated a willingness to align more closely with Republican ideas, fuelling speculation about potential political intervention.
Trump’s prior pardon of Silk Road founder Ross Ulbricht shortly after taking office has added to the public’s interest in whether Bankman-Fried might receive similar clemency.
Upcoming Hearing Could Influence Crypto Legal Precedents
The appeal comes after a trial marked by testimony from former FTX employees and industry experts, detailing the alleged fraudulent mishandling of billions in customer assets.
The Department of Justice has emphasised the scale of the financial harm, estimating losses above $8 billion, and stressed the need for regulatory enforcement in the cryptocurrency sector.
Legal observers note the appeal may have implications beyond Bankman-Fried, potentially shaping how future high-profile crypto cases are prosecuted.
Is a Reversal Likely Amid Heavy Evidence Against Him
Bankman-Fried’s team argues that pre-trial media coverage and denied motions, including a requested change of venue, compromised the fairness of the original trial.
The defence also claims the jury was not properly instructed on the distinction between criminal intent and negligence.
While the appellate court’s decision could lead to a retrial, many legal analysts caution that success is uncertain given the weight of the evidence presented at the initial trial.
The hearing on 4 November will be closely monitored by the cryptocurrency industry and global financial media, highlighting the ongoing scrutiny of accountability and legal oversight in digital finance.
Huang Bo
Coindesk
decrypt
Beincrypto
Others
Vox
Bitcoinist