Sam Bankman-Fried, the convicted founder of the collapsed FTX cryptocurrency exchange, has broken his silence from prison, taking aim at President Joe Biden’s administration while aligning himself with former President Donald Trump.
In an interview with The New York Sun, Bankman-Fried condemned the Biden administration’s handling of cryptocurrency regulations and suggested that his legal troubles were politically motivated. His remarks mark a stark reversal from his previous support for Democratic candidates, raising speculation about his legal strategy and potential clemency efforts.
Bankman-Fried Claims Political Targeting
Speaking from the Metropolitan Detention Center in Brooklyn, Bankman-Fried insisted that his prosecution was influenced by politics rather than justice. He drew parallels between his case and Trump’s ongoing legal battles, alleging that Biden’s Department of Justice (DOJ) had unfairly weaponized the law against him.
“I know President Trump had a lot of frustrations with Judge Kaplan. I certainly did as well,”
Bankman-Fried said, referring to Lewis Kaplan, the federal judge who sentenced him to 25 years for fraud. Kaplan also presided over Trump’s federal defamation trial brought by writer E. Jean Carroll.
Bankman-Fried, once a major Democratic donor, now claims that his contributions to Republican candidates were concealed. “The Republican side was way bigger than people realized,” he said, suggesting that his bipartisan political activities led to his downfall. He accused prosecutors of manipulating public perception, stating that his Republican donations were kept hidden while his Democratic contributions became a focal point of media coverage.
Criticism of Biden’s Crypto Policies
A major focus of Bankman-Fried’s criticism was the Biden administration’s regulatory stance on cryptocurrency. He described its policies as “incredibly destructive” and claimed that Democratic lawmakers had become increasingly hostile toward the crypto industry.
“The Democratic Party was becoming anti-crypto, and I was trying to stop it,”
he said, emphasizing his past lobbying efforts in Washington. He argued that Trump and the Republican Party had been more open to reasonable crypto regulations and less inclined to impose severe restrictions on the industry.
His comments come at a time when cryptocurrency remains a divisive issue in Washington. While the Biden administration has pushed for stricter oversight, Trump has recently embraced crypto-related ventures, including launching a meme coin. Bankman-Fried’s statements suggest he sees an opportunity for political realignment as the 2024 election approaches.
Speculation Over Clemency and Legal Maneuvers
Reports indicate that Bankman-Fried’s parents have been engaging with legal experts and individuals within Trump’s network, raising questions about whether he is seeking a potential pardon. Trump recently granted clemency to Ross Ulbricht, the founder of Silk Road, a dark web marketplace that facilitated Bitcoin transactions for illegal activities.
Bankman-Fried maintains that FTX was not insolvent when it collapsed in late 2022. He blamed the bankruptcy team and government intervention for freezing assets that could have been used to reimburse customers. “There were enough assets to pay everyone back in full in November 2022,” he claimed, accusing bankruptcy lawyers of misrepresenting FTX’s financial situation.
Despite his conviction, Bankman-Fried appears determined to appeal his sentence. “We have oral arguments coming up in the next three to six months,” he said, expressing cautious optimism about his chances in federal court.
