FTX founder seeks Trump pardon amid repayments

Sam Bankman-Fried, the founder of the now-defunct cryptocurrency exchange FTX, expressed his desire for a pardon from President Donald Trump. This request emerged during his first interview since his incarceration, conducted on February 18, coinciding with the commencement of customer repayments by FTX.

Bankman-Fried, currently serving a 25-year sentence, criticized what he perceives as the politicization of the judicial system under the Biden administration, hoping to find common ground with Trump. He claimed that FTX was solvent but faced liquidity issues, and accused the law firm Sullivan & Cromwell of mishandling the bankruptcy proceedings.

The timing of the interview aligns with the beginning of repayments to FTX customers, which has drawn criticism due to the valuation of these repayments being tied to the low cryptocurrency prices of 2022 rather than current market rates. The interview also follows the pardon of Ross Ulbricht by Trump, fulfilling a commitment to the cryptocurrency community, as well as efforts by Bankman-Fried’s parents to seek clemency for their son.

In the interview with The New York Sun, Bankman-Fried suggested that his political views have shifted, citing frustrations with the Biden administration and finding the Republican Party more reasonable. He also implied a shared adversity with Trump regarding Judge Lewis (JO:LEWJ) Kaplan, who presided over both Bankman-Fried’s fraud case and Trump’s federal defamation trial.

Bankman-Fried also discussed his earlier support for the Biden campaign, which he says was an effort to prevent a shift towards democratic-socialist policies. He acknowledged donating to Republican candidates through undisclosed means, known as "dark money."

Despite the dismissal of a second trial over alleged campaign contributions fraud, Bankman-Fried noted that his former colleague, Ryan Salame, received a 90-month sentence for related charges, emphasizing the disparity in sentencing between Republican and Democratic affiliates.

Bankman-Fried is appealing his case, asserting that FTX and Alameda Research were solvent and that the bankruptcy was mishandled. He maintains that there were sufficient assets to pay customers in full at the time of the bankruptcy, and he claims evidence exists that contradicts the prosecution’s narrative of misappropriation of funds.

Throughout the interview, Bankman-Fried aimed to present himself in a light favorable to Trump, criticizing the Biden administration and distancing himself from previous political stances. He emphasized the challenges of his current situation but noted that financial concerns were not his primary issue.

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