Can political overturns help escape imprisonment? An analysis of Sam Bankman-Fried's new strategy

From Donor to Prisoner: The Rapid Turnaround of Сэм Бэнкман-Фрид

The former creator of a crypto empire, Сэм Бэнкман-Фрид, is now staging a political “face change” behind bars. Once a figure valued at $3.2 billion, dominating the crypto world, he now draws public attention with a 25-year prison sentence. But he has not succumbed to fate; instead, he has orchestrated a shocking political stance shift while in prison.

Once a Democratic Party benefactor, he now frequently endorses Trump, with widespread speculation that his true goal is to secure a presidential pardon for early release. This strategy is not just wishful thinking; data from the market prediction platform Polymarket shows that within the first 100 days of Trump’s presidency, investors widely favor the possibility of Сэм Бэнкман-Фрид receiving a pardon.

“FTX Never Truly Went Bankrupt” — An Astonishing Statement from Prison

In a phone interview with the New York Sun, Сэм Бэнкман-Фрид put forward a controversial argument: FTX actually had enough funds in November 2022 to settle all customer debts. According to him, the real culprits are external creditors involved in the case, who deliberately delayed payouts.

Specifically, Сэм Бэнкман-Фрид directly criticized the law firm Sullivan & Cromwell for mishandling the case, which led to payment delays. However, the authenticity of these claims is questionable, as the FTX bankruptcy management team is executing a $11 billion compensation plan, which starkly contradicts his assertions.

“Star Dream” in Prison: Will History Repeat Itself?

The hope that Сэм Бэнкман-Фрид places in this is not unfounded. Trump once showed favor to Silk Road founder Ross Ulbricht, providing a reference for the crypto community. Reports indicate that his family is actively working to portray him as a victim of political persecution.

However, even if a pardon materializes, the greater challenge for Сэм Бэнкман-Фрид is rebuilding trust. The crypto market has always been harsh on traitors; someone who served time for defrauding clients’ funds will inevitably face a thorny road to comeback. Most industry participants believe that regardless of the judicial outcome, Сэм Бэнкман-Фрид’s reputation in the crypto world has essentially been destroyed.

The final chapter of this story—whether a pardon will bring a reversal or lead to complete downfall—remains to be seen.