FTX co-founder Gary Wang is sentenced to time already served

In a recent development, FTX co-founder Gary Wang was sentenced to time served in a United States district court in New York on Nov. 20. This marks the conclusion of legal proceedings for Wang, who was the last executive awaiting sentencing over the exchange’s collapse in 2022.

Wang, along with former Alameda Research CEO Caroline Ellison, pleaded guilty to fraud charges in December 2022. Ellison received a two-year sentence for her involvement in the scheme, where she admitted to conspiring with FTX co-founder Sam Bankman-Fried to steal $8 billion. Wang’s sentence includes time served, three years of probation, and forfeiture of all illicitly gained assets.

Judge Lewis Kaplan oversaw all five cases related to the exchange collapse, issuing prison time to Ellison, Bankman-Fried (25 years), and former FTX Digital Markets co-CEO Ryan Salame (7.5 years). The sentencing of Wang aligns with the case of former FTX engineering director Nishad Singh, who received a similar sentence earlier this year.

During the sentencing, Judge Kaplan highlighted Wang’s cooperation as a mitigating factor, which led to his relatively light sentence. According to reports, Kaplan praised Wang for his commitment to assisting authorities and cooperating throughout the legal process.

In court, Wang expressed remorse for his actions, stating, “I took the easy path, the cowardly path, instead of doing the right thing. I will spend the rest of my life trying to make amends.”

Now that the sentencing is complete, the focus shifts to the next stage of the legal process as lawyers for Bankman-Fried seek to free their client through the appeals process. Bankman-Fried’s legal team filed for an appeal in April and later submitted paperwork seeking a retrial with a new judge, claiming their client wasn’t treated fairly.

As we move forward, it will be interesting to see how the appeals process unfolds and how the ongoing FTX criminal prosecutions continue to evolve. Stay tuned for updates on this developing story.