Penthouse to prison: Sam Bankman-Fried’s journey from crypto king to convicted conman
Samuel Bankman-Fried’s poster in downtown San Francisco.
MacKenzie Sigalos | CNBC
Two years ago, Sam Bankman-Fried was a 30-year-old multibillionaire living in a $35 million Bahamas penthouse, partying with his pals while running one of the world’s most valuable crypto companies.
Today, he’s a 32-year-old inmate at the Metropolitan Detention Center in Brooklyn, waiting for a judge to tell him how long he’ll spend behind bars for masterminding “one of the biggest financial frauds in American history,” in the words of U.S. Attorney Damian Williams.
Bankman-Fried, the founder and former CEO of failed crypto exchange FTX, will head on Thursday to a federal court in downtown Manhattan, where U.S. District Judge Lewis Kaplan will deliver his sentencing. Prosecutors have recommended a prison sentence of 40 to 50 years.
It took jurors only about three hours of deliberations in November to find Bankman-Fried guilty of all seven criminal accounts against him. For a high-profile monthlong trial that involved nearly 20 witnesses and hundreds of exhibits, experts said at the time that they’d never seen such a speedy decision. Bankman-Fried plans to appeal his conviction and sentence.
It was a steep and swift fall from grace for Bankman-Fried, who was once hailed as a titan of the industry and had a peak net worth — on paper — of roughly $26 billion.
Indicted FTX founder Sam Bankman-Fried leaves the U.S. Courthouse in New York City, July 26, 2023.
Amr Alfiky | Reuters
Bitcoin arbitrage
It started with the Kimchi Swap.
In 2017, as a quant trader at Jane Street, Bankman-Fried noticed something funny when he looked at bitcoin pricing on CoinMarketCap.com. Instead of a uniform price across exchanges, Bankman-Fried would sometimes see a 60% difference in the value of the digital currency. His immediate instinct, he said, was to get in on the arbitrage trade — buying bitcoin on one exchange and selling it back on another, pocketing the difference.
“That’s the lowest hanging fruit,” Bankman-Fried told CNBC in September 2022.
The arbitrage opportunity was especially compelling in South Korea, where the exchange-listed price of bitcoin was significantly higher than in other countries. It was dubbed the Kimchi Premium, a reference to the traditional Korean side dish of salted and fermented cabbage.
After a month of personally dabbling in the market, Bankman-Fried launched Alameda Research, named after the California county that housed his first office. Bankman-Fried told CNBC that the firm sometimes made as much as a million dollars a day trading bitcoin.
Alameda’s success spurred the launch of FTX. In April 2019, Bankman-Fried co-founded FTX.com, an international cryptocurrency exchange that offered customers innovative trading features, a responsive platform and a reliable experience. FTX’s success led to a $2 billion venture fund that seeded other crypto firms.
The FTX logo soon adorned everything from Formula One race cars to a Miami basketball arena. Bankman-Fried talked about one day buying Goldman Sachs, and he became a fixture in Washington as one of the Democratic Party’s top donors.
Then the market turned.
The so-called crypto winter of 2022 wiped out hedge funds and lenders across the crypto universe. Bankman-Fried boasted that he and his enterprise were immune. Behind the scenes, Alameda was borrowing money to invest in failing digital asset firms to keep the industry afloat.
May of 2022 brought the crash of stablecoin Luna, creating a domino effect that sent crypto prices plunging and devastating other lenders.
Alameda had borrowed from lenders including Voyager Digital and BlockFi, which both ended up going bankrupt. Alameda secured its loans with FTT tokens, minted by FTX. Bankman-Fried’s empire controlled the vast majority of the available currency, with only a small amount of FTT actually circulating at any time.
Alameda marked its entire hoard of FTT at the prevailing market price despite it being a virtually illiquid asset. The fund used the same methodology with other coins as well, including Solana and Serum (a token created and promoted by FTX and Alameda), using them to collateralize billions of dollars in loans. Industry insiders called the tokens “Sam coins.”
Virtual bank run
When faced with margin calls due to falling prices, Bankman-Fried turned to FTX customers’ deposits to the tune of billions of dollars by the middle of 2022. According to the firm’s own bankruptcy filings, it possessed almost nothing in the way of record keeping.
On Nov. 2, 2022, crypto trade site CoinDesk publicized details of Alameda’s balance sheet, which showed $14.6 billion in assets. Over $7 billion of those assets were either FTT tokens or Bankman-Fried-backed coins like Solana or Serum. Another $2 billion worth were locked away in equity investments.
Investors began withdrawing their holdings from FTX, creating the threat of a virtual bank run. Alameda and FTX now both faced a liquidity crunch.
On Nov. 6, four days after the CoinDesk article, Binance founder Changpeng Zhao dropped the hammer. Binance was the first outside investor in FTX in 2019. Two years later, FTX bought back its stake with a combination of FTT and other coins, according to Zhao.
Zhao wrote in tweet that, because of “recent revelations that have came [sic] to light, we have decided to liquidate any remaining FTT on our books.” FTX executives scrambled to contain the damage, and Alameda traders managed to fend off outflows for a couple days.
On Nov. 7, Bankman-Fried tried to show confidence, tweeting, “FTX is fine. Assets are fine.” The post was deleted.
Sam Bankman-Fried, the jailed founder of bankrupt cryptocurrency exchange FTX, is sworn in as he appears in court for the first time since his November fraud conviction, at a courthouse in New York, U.S., February 21, 2024 in this courtroom sketch.
Jane Rosenberg | Reuters
Internal discussions were different. Bankman-Fried and other executives admitted to each other that “FTX customer funds were irrevocably lost because Alameda had appropriated them.” By Nov. 8, the client shortfall had grown to $8 billion. Bankman-Fried was courting outside investors for a rescue package but found no suitors.
FTX issued a pause on all customer withdrawals that day. FTT’s price plummeted by over 75%. Out of options, Bankman-Fried turned to Zhao, who announced that he’d signed a “non-binding” letter of intent to acquire FTX.com.
But a day later, on Nov. 9, Binance said it wouldn’t go through with the acquisition, citing reports of “mishandled customer funds” and federal investigations.
FTX filed for bankruptcy on Nov. 11, and Bankman-Fried resigned as CEO of FTX and associated entities. He immediately lost 94% of his personal wealth.
Sullivan & Cromwell, FTX’s longtime attorneys, approached John J. Ray, who oversaw Enron through its bankruptcy, to assume Bankman-Fried’s former position.
On Dec. 12, Bankman-Fried was arrested by Bahamian authorities and extradited to the U.S., where he was taken into custody. Federal prosecutors and regulators accused Bankman-Fried of perpetrating a fraud “from the start,” according to a filing from the SEC.
Bankman-Fried was released on a $250 million bond and was initially living under house arrest with a court-ordered ankle monitor at his parents’ home in Palo Alto, California, on the Stanford University campus. He was soon taken back into custody for alleged witness tampering.
While Bankman-Fried awaited trial, many of his closest friends and confidantes turned into key witnesses for the prosecution, leaving the former crypto billionaire to defend himself. Less than a year after his arrest, the 12-person jury found Bankman-Fried guilty on all criminal charges against him.
— CNBC’s Rohan Goswami contributed to this report.
WATCH: Prosecutors recommend 40-50 year prison sentence for Bankman-Fried
InMotion, a well-known brand in the world of personal electric mobility, has officially launched its latest electric unicycle, the InMotion V9. Combining advanced technology and new safety features, the V9’s design positions this electric unicycle as a key option for urban commuters and adventure seekers alike who want good performance without spending a fortune.
Believe it or not, the electric unicycle market is quite broad. There are dozens of interesting models, offering everything from slow, beginner-friendly wheels to massively powerful and scary fast off-road electric unicycles (EUCs).
The new InMotion V9 launches as something of an in-between wheel, providing enough power and speed to keep it fun and interesting, yet without going so over-the-top that it becomes unaffordable or unapproachable by newer riders.
Priced at $1,299, the InMotion V9 is powered by a 1,000W motor that can reach peak outputs of 2,000W. This setup delivers a top speed of around 28 mph (45 km/h), positioning it well for urban streets and bike lanes, two of the most common stomping grounds for EUCs.
Range anxiety isn’t just a concern for cars; it can also affect micromobility riders. For its part, InMotion gave the V9 a fairly hefty 84V and 750Wh battery. This capacity allows the V9 to achieve up to 37 miles (60 km) per charge under optimal conditions. The UL-listed battery charges fairly quickly, reaching full capacity in approximately five hours.
One key feature of the V9 not found on most beginner-friendly wheels is its Nimbus Air suspension system, which provides 60 mm of travel to enhance rider comfort and reduce fatigue on uneven surfaces.
The included suspension is even more notable considering the V9 is currently InMotion’s lightest suspension-equipped electric unicycle, weighing around 48.5 lbs (22 kg). And speaking of weight, the EUC can support riders weighing up to 265 lbs (120 kg).
The InMotion V9 doesn’t skimp on smart features, either. Its integrated GPS tracking enables owners to remotely locate and monitor their unicycle via InMotion’s mobile app, even when powered off. Remote locking functionality further enhances security, ensuring peace of mind for riders frequently leaving their wheel unattended.
Additional smart integrations include customizable RGB side accent lights and built-in Bluetooth speakers, allowing riders to personalize their ride and stay entertained while commuting – or just keep cars and other road users more aware of their presence. The V9 also includes USB-A and USB-C ports with 20W output to ensure riders can conveniently charge their mobile devices while on the go.
Safety is always paramount in electric transportation devices, especially those that come with their own unique concerns like electric unicycles. The V9 has TÜV Rheinland UL2272 certification and “advanced fire-resistant technology” to mitigate risks further.
The InMotion V9 is now available for purchase through local InMotion dealers and via the official InMotion online store.
I don’t cover electric unicycles as often as e-bikes, scooters, and other micromobility devices, but not because they are less deserving. They’re certainly more niche, but I know that the EUC community is adamant about their advantages. And listen, I get it. They’re small and convenient to park or store inside, they don’t require much maintenance at all, and they’re pretty fun after you get the hang of them. An EUC can be intimidating at first, but once it clicks in your brain after a few learning sessions, riding one is a blast!
With the electric unicycle market continuing to gain traction, InMotion still faces competition from other premium brands. However, the V9’s comprehensive package of comfort, safety, and advanced smart features, combined with its competitive price point, should place it pretty well in the crowded landscape of personal electric transportation.
FTC: We use income earning auto affiliate links. More.
Fremont, California-based Delta Electronics just rolled out a sleek new 50kW DC Wallbox charger that’s designed for tight spaces at ACT Expo 2025.
This charger packs a punch in a surprisingly slim, 10-inch-thick, and lightweight (just 225 pounds!) casing that can be wall-mounted or set up on a pedestal. It’s specifically designed for tight spaces like urban parking lots, busy corporate campuses, or crowded fleet operation hubs.
Delta plans to manufacture these 50kW DC Wallbox chargers in Plano, Texas, keeping it local and supporting the rapid EV infrastructure growth across North America.
A 50 kW charger is at the low end of Level 3 fast charging speed, because you don’t always need to charge your car in 25 minutes. It’s the ideal charging speed for shopping, lunch, or seeing a film. Eng Taing, Delta’s senior VP and GM of energy & telecom Infrastructure, says, “Our focus is on seamlessly integrating high efficiency charging into the diverse scenarios of everyday life, including commercial operations, not just maximizing power output.”
With a 97% efficiency rate, the Wallbox can juice up two EVs simultaneously using either CCS1 or NACS connectors. Plus, the 23-foot cable makes it easy to accommodate nearly any parking layout, eliminating headaches during installation.
Delta’s vertical integration approach means it handles everything from design to manufacturing. But it doesn’t stop at hardware; the charger also connects to Delta’s IoT platform, offering remote diagnostics, predictive maintenance, and over-the-air updates. That hopefully means fewer disruptions and smoother operations for fleet managers and EV users.
If you live in an area that has frequent natural disaster events, and are interested in making your home more resilient to power outages, consider going solar and adding a battery storage system. To make sure you find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. They have hundreds of pre-vetted solar installers competing for your business, ensuring you get high quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use and you won’t get sales calls until you select an installer and share your phone number with them.
Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisers to help you every step of the way. Get started here. –trusted affiliate link*
FTC: We use income earning auto affiliate links. More.
More car buyers are hunting for used EVs – CarMax says searches filtered by “electric vehicle” have nearly doubled since January 2022.
CarMax saw EV searches surge in March 2022 and again in June 2024. The first spike lined up with the gas price shock after Russia invaded Ukraine, and the second came right as the Biden administration rolled out its $4,000 federal tax credit for used EVs.
The online used car marketplace’s Spring 2025 Electric Vehicle Consumer Report shows just how far used EV prices have tumbled, down over 40% between January 2022 and February 2025. By comparison, prices for gas cars, hybrids, and plug-in hybrids only slipped about 12% over the same period.
The top 10 most popular used EVs
For the third year running, the Tesla Model 3 and the Model Y were in the No. 1 and No. 2 slots, respectively, from September 1, 2024, to February 28, 2025. The Chevy Bolt jumped into third place from its previous spot at No. 7 in 2024 and 2023. The Ford F-150 Lightning (7) and the Rivian R1T (10) made the top 10 for the first time, while the Tesla Model S and the Audi e-tron dropped out. The Hyundai Ioniq 5 and Nissan Leaf were at Nos. 5 and 6, and the Volkswagen ID.4 (4), Nissan LEAF (6), and the Ford Mustang Mach-E (9) made the list for the third year in a row.
What people are trading in
For the first time ever, more people are ditching sedans and coupes for EVs than SUVs. CarMax says sedans and coupes made up 44% of all EV trade-ins, up from 36% in 2024 and just 29% the year before. It’s a clear sign that the EV switch is picking up speed across more than just SUV drivers.
When customers traded in sedans for EVs during this report’s measurement period, the most common EVs they purchased were the Tesla Model 3, Tesla Model Y, and Chevy Bolt EUV.
The top traded-in model for an EV at CarMax was the Tesla Model 3, and those who traded in a Model 3 usually went for a Model Y. The rest of the top five include the Honda Civic and Accord, the Nissan LEAF, and the Toyota Prius. The Ford F-150 truck, the top trade-in alongside the Accord in the 2024 report, dropped off the list.
Where used EVs are most popular
Since this is CarMax’s report, it’s of course based on data sourced from its 250 stores across the US. In 2025, Oregon beat California to become the state with the highest percentage of EV sales compared to each state’s total sales at CarMax. California has previously held the top ranking since 2023.
The West Coast continued to dominate when it came to used EV sales. California and Washington were in second and third place, respectively. Nevada and Arizona were fourth and sixth, while Utah and New Mexico (new to the top 10 list this year) held spots five and seven. On the East Coast, New York (10) appeared on the list for a second time, dropping two spots from No. 8 in 2024.
The newcomers include Minnesota, which jumped 24 spots in a year to No. 8, and New Jersey, which moved up six slots to No. 9.
To limit power outages and make your home more resilient, consider going solar with a battery storage system. In order to find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. They have hundreds of pre-vetted solar installers competing for your business, ensuring you get high-quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use and you won’t get sales calls until you select an installer and you share your phone number with them.
Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisers to help you every step of the way. Get started here. –trusted affiliate link*
FTC: We use income earning auto affiliate links. More.
-
Sports3 years ago‘Storybook stuff’: Inside the night Bryce Harper sent the Phillies to the World Series
-
Sports1 year agoStory injured on diving stop, exits Red Sox game
-
Sports1 year agoGame 1 of WS least-watched in recorded history
-
Sports2 years agoMLB Rank 2023: Ranking baseball’s top 100 players
-
Sports4 years ago
Team Europe easily wins 4th straight Laver Cup
-
Environment2 years agoJapan and South Korea have a lot at stake in a free and open South China Sea
-
Environment2 years agoGame-changing Lectric XPedition launched as affordable electric cargo bike
-
Business3 years agoBank of England’s extraordinary response to government policy is almost unthinkable | Ed Conway