Former FTX Executive Sentenced to 7.5 Years in Prison

The Southern District of New York court has sentenced Ryan Salame, the former CEO of FTX’s Bahamian division, to 90 months (7.5 years) in prison. 

According to the U.S. Department of Justice, he also received three years of probation, was ordered to forfeit $6 million, and pay over $5 million in restitution.

Prosecutor Damian Williams emphasized that Salame’s actions undermined public trust in elections and the financial system.

“Salame agreed to advance the interests of FTX, Alameda Research, and his associates through an illegal campaign of political influence and unlicensed money transmission activities. These unlawful actions helped FTX grow faster and larger,” he stated.

In September 2023, Salame pleaded guilty to criminal charges related to the collapse of the cryptocurrency exchange. The charges involved conspiracy to make illegal donations and operate an unlicensed money transmission business.

Previously, his lawyers had requested a sentence of 1.5 years in prison, but the prosecution demanded a harsher sentence.

In November 2022, two days before FTX filed for bankruptcy, the executive warned Bahamian authorities of a potential scam.

Co-founder and former CEO of the exchange, Sam Bankman-Fried (SBF), was found guilty on all charges by a jury in November 2023. In March 2024, he was sentenced to 25 years in prison. SBF’s lawyers appealed the court’s decision.

Earlier, former Alameda Research head Caroline Ellison, FTX CTO Gary Wang, and the exchange’s head of engineering Nishad Singh also pleaded guilty.