Sam Bankman-Fried, the former CEO of FTX, may not serve the full 25-year sentence he received for crypto fraud.
According to Business Insider, the Bureau of Prisons (BOP) suggests that he could be released as early as December 14, 2044, which would be more than four years earlier than his original sentence. This potential reduction is attributed to factors such as good conduct credits, time already served, and participation in rehabilitation programs while incarcerated.
Bankman-Fried’s sentence was already significantly less than the 40 years that prosecutors had sought and far below the maximum of 110 years allowed under federal guidelines.
Legal experts, including James Murphy (known as MetaLawMan), have indicated that under federal policies regarding “good time credit,” it is common for inmates to serve less than their full sentences. Typically, inmates in the federal system serve about 85% of their term, with reductions available for good behavior and involvement in approved rehabilitation programs.
The BOP states that inmates can earn up to 54 days of credit each year for good behavior. Additionally, time spent in custody before sentencing also counts towards this credit. In Bankman-Fried’s case, he spent two months in custody after his bail was revoked in 2023, which will further reduce his time in prison.
Bankman-Fried was convicted on seven counts related to fraud and conspiracy, linked to an $11 billion scheme that involved misusing customer funds through his crypto hedge fund, Alameda Research.
