Sam Bankman-Fried’s efforts to reverse his 25-year incarceration sentence came to an abrupt end when a federal appellate tribunal denied his petition on June 12, 2026.
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Sam Bankman-Fried has lost his appeal to overturn his FTX fraud conviction. pic.twitter.com/rdP6h7YHin
— CoinMarketCap (@CoinMarketCap) June 12, 2026
The Second Circuit U.S. Court of Appeals in Manhattan maintained the initial guilty verdict through a unanimous ruling. A three-judge panel dismissed each contention presented by Bankman-Fried’s defense team in their appellate challenge.
Bankman-Fried faced conviction in November 2023 across seven separate charges involving fraud and criminal conspiracy. Federal prosecutors characterized the scheme as potentially the most significant financial deception in ten years, drawing parallels to the infamous Bernie Madoff scandal.
The appellate tribunal determined that the prosecution’s evidence against him was, to put it mildly, “robust.” In his written opinion, Circuit Judge Barrington Parker noted that Bankman-Fried treated FTX “as his own personal piggy bank,” diverting client deposits toward luxury property purchases, campaign donations, and various business ventures.
These activities occurred simultaneously as he publicly assured customers, stakeholders, and government oversight bodies that their capital remained secure.
Bankman-Fried initiated his appeal proceedings in September 2024. His legal representatives contended that he received an unjust trial and was prevented from presenting crucial exculpatory evidence. They further maintained that customer holdings were fundamentally sound and that FTX possessed adequate reserves to satisfy all withdrawal requests.
The appellate tribunal categorically dismissed these contentions. “The overwhelming evidence at trial proved that Bankman-Fried knowingly and intentionally committed large-scale fraud,” the court said.
Bankman-Fried established both FTX, which became among the planet’s most prominent cryptocurrency trading platforms, and the investment firm Alameda Research. Alameda served as the linchpin in the fraudulent operation. FTX’s spectacular failure occurred in November 2022, obliterating billions of dollars in client assets.
He received his 25-year prison term in 2024.
Bankman-Fried has additionally sought executive clemency from Donald Trump. His formal pardon application surfaced on the Department of Justice Office of the Pardon Attorney’s public database in early June 2026.
During an appearance on Fox Business, Bankman-Fried confirmed he was “absolutely” pursuing presidential forgiveness. Nevertheless, Trump informed the New York Times in January that he had zero intention of granting him clemency.
A representative from the White House refused to provide additional commentary last week, referencing Trump’s previous statements on the matter.
Trump has issued controversial pardons previously. He granted clemency to Ross Ulbricht, the creator of Silk Road, in January 2025. Ulbricht had been incarcerated under a sentence of two consecutive life terms plus an additional 40 years for operating an illicit online marketplace that primarily facilitated Bitcoin transactions.
In late April 2026, a federal district judge had already dismissed Bankman-Fried’s motion for a new trial at the lower court level, describing certain assertions in his filing as “wildly conspiratorial.”
With the appellate court’s rejection now finalized and presidential clemency appearing improbable, Bankman-Fried’s remaining legal avenues are dwindling rapidly.
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