FTX Co-Founder Gary Wang Requests No Jail Time Before Upcoming Sentencing

• FTX co-founder Gary Wang requested no jail time from the US federal judge in a recent filing.
• Wang, who is also Sam Bankman-Fried’s friend, pointed out that his testimonies as a key witness at SBF’s trial helped the authorities to convict the latter.
• Wang’s appeal is coming ahead of his sentencing on November 20.

FTX Co-Founder Wang Appeals For No Jail Time

FTX co-founder and former technology chief Gary Wang has appealed for no jail time in his trial.

Wang’s attorney Ilan Graff filed a memo to a Manhattan district court, requesting the federal judge to be lenient in sentencing. The lawyer also cited Wang’s cooperation as a key witness in the fraud trial against his friend Sam Bankman-Fried.

During Bankman-Fried’s trial, Wang revealed how his friend ordered him to alter the exchange’s code to enable its sister trading platform, Alameda, access to FTX’s customers’ data.

This served as a major indication against SBF, leading to his 25 years imprisonment. Further, Graff explained that Wang’s testimonies and cooperation should earn him mercy in the court’s sentencing. 

The memo noted that Wang’s “trial testimony was a cornerstone of the Government’s successful case against bankman-Fried.”

Also, the attorney pointed out that Wang was among the first FTX executives to release information regarding the activities of both FTX and Alameda Research.

In the filing, Graff further emphasized Wang’s minimal involvement in the FTX fraudulent scheme. He noted that his client had “the most limited role” in the $10 billion fraud on FTX customers.

The lawyer cited others connected to the case, such as Caroline Ellison, former Alameda Research CEO, and Nishad Singh, FTX engineering director. He explained that Wang was less involved in the fraud compared to the others and requested a non-custodial sentence for his client.

Federal Judge Kaplan To Sentence Wang on November 20

Meanwhile, Federal Judge Lewis Kaplan is expected to sentence Wang on November 20. Following FTX’s bankruptcy in 2022, Wang pleaded guilty to fraud and conspiracy in the investigative trial with prosecutors.

Other implicated FTX and Alameda executives have faced punishment for their involvement. In September, Judge Kaplan sentenced Ellison to two years imprisonment, compared to Bankman-Fried’s 25 years in jail.

Also, last month, the judge gave Nishad Singh no prison time but served three years of supervised release. This sentencing was based on Singh’s cooperation with authorities, though he pleaded guilty.

Similarly, the former co-CEO of FTX Digital Markets, Ryan Salame, has started serving his prison time at the Federal Correction Institutional (FCI) in Cumberland, Maryland. Salame got seven and a half years of sentencing.

Moreover, the memo argued that sentencing Wang to jail time would establish an unwarranted sentencing disparity with Singh. Also, such a move won’t account for Wang’s relative culpability and exceptional cooperation with the authorities.

Additionally, the filing highlighted Wang’s innocence over Bankman-Fried’s order for changing FTX’s code.

A part of the filing stated: “Crucially, as the Government has acknowledged and the evidence at trial showed, when Gary wrote that code, he had no idea Bankman-Fried would exploit the features to steal customers funds. Bankman-Fried did not even inform Gary (let alone coordinate with him) before the exploitation began.”

Rida is a dedicated crypto journalist with a passion for the latest developments in the cryptocurrency world. With a keen eye for detail and a commitment to thorough research, she delivers timely and insightful news articles that keep her readers informed about the rapidly evolving digital economy.

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