With the impending sentencing of FTX founder SBF, lawyers on both sides have engaged in a cunning debate.
(
Federal prosecutors advocate for a sentence of 40 to 50 years imprisonment for FTX founder SBF.
)
Table of Contents
Toggle
SBF’s Lawyer: No Losses Sustained by Users
Reorganization Party John Ray: FTX Only Had 105 Bitcoins Left
SBF’s Lawyer: No Losses Sustained by Users
According to legal documents, SBF’s lawyer opposed the severe sentencing proposal of 50 years imprisonment put forth by the U.S. federal prosecutors last week.
Advertisement – Scroll to Continue Reading
The lawyer made multiple arguments, stating that the proposed judgment by the government is alarming, and the prosecutors’ approach reflects a medieval perspective on punishment, equivalent to a life imprisonment recommendation.
The document also exhibits clear hostility and distorts facts to highlight the narrative of FTX user losses, portraying SBF as a super villain.
The lawyer stated:
The fact is that users have never sustained any losses, with zero harm to customers, lenders, and investors. The assets have always existed, and each FTX user will receive compensation equal to every dollar, plus interest. The judge should consider a maximum imprisonment of 6.5 years.
The reorganization team has something to say about this.
Reorganization Party John Ray: FTX Only Had 105 Bitcoins Left Initially
According to CoinDesk’s report, FTX’s current CEO John Ray strongly refutes SBF’s lawyer’s statements, emphasizing that the claims of zero losses and full repayment capability are absolutely false.
John Ray stated that when he took over, FTX only had 105 bitcoins left, while customer claims amounted to nearly 100,000 bitcoins. Certain assets, such as those used by SBF to bribe Chinese officials, can never be recovered.
The full repayment now is solely due to price increases and the efforts of the bankruptcy team spending tens of thousands of hours. There is absolutely no such thing as “no need to file for bankruptcy.”
John Ray pointed out that many FTX users are still highly dissatisfied with the valuation of their claims. However, with SBF committing massive fraud, users’ assets can never reach the level they could have achieved today.
FTX
SBF
Further Reading
FSC: Bitcoin and Other Assets are Highly Volatile and Lack Intrinsic Value, Caution Should Be Exercised When Using Overseas Platforms
Bitcoin ETF Experiences Outflows for Two Consecutive Days, BTC Falls Below $61K, Achieving the Largest Daily Decline since the FTX Incident