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Trump Rules Out Pardon for FTX Founder Sam Bankman-Fried

Key Takeaways

  • President Donald Trump will not pardon Sam Bankman-Fried.
  • The White House cited the scale of losses tied to the FTX collapse.
  • His political ties to Democrats weakened any clemency prospects.
  • Lobbying efforts and public outreach from prison failed.
  • He remains in custody serving a 25-year sentence.

White House officials say the president doesn’t plan to pardon anyone. This stance is similar to what the president said publicly in January 2026, when he stated that figures like Sam Bankman-Fried, Sean “Diddy” Combs, and Nicolás Maduro would not receive pardons.

Why The Pardon Was Off The Table

From the beginning, it seemed unlikely Sam Bankman-Fried would receive clemency. Unlike other crypto leaders who were pardoned, his case involved massive financial losses – billions of dollars – for regular people who used FTX before it failed in 2022. The sheer amount of money lost, and the strong public reaction to FTX’s collapse, made it hard for anyone to argue he deserved leniency.

Bankman-Fried’s history of political donations also created problems for him. He gave a lot of money to Democratic campaigns during the 2020 election, including support for Joe Biden. This made it difficult for him to gain favor with the current administration.

The Failed Lobbying Campaign

I’ve been following the Sam Bankman-Fried case closely, and it’s come out that his family was working for over a year to try and get him some kind of leniency. Apparently, his parents, who are both law professors at Stanford, were reaching out to lawyers and people with connections to Trump, hoping to build support for a pardon or reduced sentence. Sadly, it looks like none of that effort paid off.

Many considered it a desperate attempt to change public opinion, but Bankman-Fried also tried to rehabilitate his image. He used others to criticize the judge who sentenced him, Lewis Kaplan, and surprisingly, expressed support for some of Donald Trump’s policies. This culminated in an unauthorized interview with Tucker Carlson while in prison in early 2025, which reportedly resulted in punishment and a transfer to a different facility.

Contrast With Other Crypto Clemency Cases

The current administration’s decision is a shift from how the previous administration handled cases involving people in the cryptocurrency world. Unlike before, they are not offering pardons or leniency. For example, in January 2025, the founder of Silk Road, Ross Ulbricht, received a pardon, and later that year, leaders from companies like BitMEX (Arthur Hayes, Benjamin Delo, and Samuel Reed) and Binance (Changpeng Zhao) also received clemency.

The White House often explained its actions regarding cryptocurrency as a reaction to what it saw as overly strict regulations. But Sam Bankman-Fried’s case was treated as separate, because of the huge financial losses and how widely they affected everyday investors.

What Happens Next

Sam Bankman-Fried is currently in federal prison on Terminal Island, serving a 25-year sentence. If his legal appeals are unsuccessful, he is expected to be released in October 2044.

Since a pardon is off the table, his fate now rests solely on what happens in court, not on any actions from the governor or president.

This article is for informational purposes only and shouldn’t be considered financial, investment, or trading advice. Coindoo.com doesn’t support or suggest any particular investment or cryptocurrency. Always do your own research and talk to a qualified financial advisor before investing.

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2026-02-25 10:10