Sam Bankman-Fried Appeals 25-Year Sentence, Claims Injustice

After receiving a 25-year prison sentence in March 2024 for fraud and conspiracy, Sam Bankman-Fried has officially appealed the ruling. His legal team argues that the entire trial was stacked against him from the start. They contend that he was “presumed guilty” by the public, media, and even the court following FTX’s dramatic collapse in late 2022. The appeal claims that prosecutors, FTX’s new management, and Judge Lewis Kaplan all contributed to a “rush to judgment,” leaving little room for a fair defense.

A Case That Defines the Crypto Era

The FTX case is more than just one man’s legal fight—it’s a reflection of how the crypto world is learning accountability. When FTX went under, more than $8 billion in user assets were missing. The incident spurred regulators and lawmakers around the world to push for stronger rules on how exchanges manage customer money.

Today, the ripple effects are clear. Major exchanges like Coinbase and Binance have tightened internal controls and increased transparency about reserves. Coinbase, for instance, now publishes regular proof-of-reserve reports showing it holds all customer funds one-to-one. This shift shows how deeply the FTX collapse has reshaped trust in crypto finance.

Interestingly, the crypto market itself has rebounded since the FTX shock. Total crypto market capitalization has climbed above $2.5 trillion in 2025, showing that investor confidence is slowly returning. However, the scars left by FTX still linger, and the industry continues to grapple with questions about ethics and governance.

More About the FTX Case

Crypto liquidations have surged to new highs, signaling intense market volatility. During the COVID crash, about $1.2 billion in positions were wiped out.

When FTX collapsed, that number rose to $1.6 billion. Now, in just the past 24 hours, over $1.7 billion has been liquidated across the crypto market, marking one of the largest single-day shakeouts in recent history.