FTX founder Sam Bankman-Fried, also known as SBF, is facing a trial next week for his involvement in the collapse of his $32 billion cryptocurrency exchange. The trial, set to begin on October 4, will see Bankman-Fried facing seven charges, which could potentially lead to a maximum sentence of 115 years in prison if he is found guilty on all counts. Crypto lawyers believe that the judge is unlikely to be lenient towards him.
Last year, Bankman-Fried’s crypto exchange and hedge fund filed for bankruptcy, leaving a $10 billion hole. With the trial approaching, legal experts do not have high hopes for Bankman-Fried’s defense. Michael Kanovitz, a partner at Loevy & Loevy law firm, predicts that if he is found guilty of fraud, Bankman-Fried could spend the rest of his life behind bars. Kanovitz also notes that Bankman-Fried’s behavior during the judicial process, including tampering with witnesses, has not worked in his favor.
Bankman-Fried will face a total of seven fraud charges in court. The prosecution must prove beyond reasonable doubt that he is guilty of committing wire fraud, conspiring to commit wire fraud, and other related charges. While the defense may try to portray Bankman-Fried as a scapegoat, influenced by others who have already pleaded guilty, legal experts are skeptical that these tactics will be successful. Ultimately, Bankman-Fried may fall victim to his own success and struggle to convince the jury that he was not responsible for the collapse of his exchange.