U.S. federal prosecutors have formally urged a judge to reject a new trial request from former FTX co-founder Sam Bankman-Fried. They argued that his latest legal claims failed to meet the standard required to overturn his conviction.
Once one of the most prominent figures in the crypto industry, Bankman-Fried is currently serving a 25-year prison sentence. He was convicted in 2023 of fraud and conspiracy related to misusing billions of dollars in customer funds.
Prosecutors Reject Bankman-Fried’s Request for Retrial
In his February motion, Bankman-Fried maintained that his conviction was unfair. Therefore, he seeks to reopen the case, claiming new evidence and witness testimony could change the outcome of the trial.
He claimed that two former FTX executives, Daniel Chapsky and Ryan Salame, could have challenged prosecutors’ narrative that he defrauded customers if they had testified. The former CEO claimed that both declined to testify due to fear of retaliation.
In their response to the court, prosecutors argued that Bankman-Fried’s motion does not provide a legitimate legal basis for a retrial. According to the authorities, the defense has not demonstrated that the original proceedings were unfair. They also argue that the newly proposed testimony would not significantly alter the verdict.
The prosecutors stated that these individuals were already known to the defense during the trial. They added that the defense could have called them as witnesses at the time.
Prosecutors Reject Political Claims
Furthermore, the prosecutors dismissed claims that his trial was politically motivated, describing such arguments as unfounded. In their view, the case was built on extensive documentation. Testimony from insiders described how customer funds were diverted to support the struggling hedge fund Alameda Research.
“The defendant was one of the largest Democratic donors in 2020 and 2022, and his campaign finance crimes were in furtherance of making those contributions, so the notion he was targeted for his Democratic politics by the prior presidential administration is fanciful,” prosecutors wrote.
Bankman-Fried’s latest motion repeated his longstanding claim that FTX was not insolvent and that customers would ultimately be repaid. Last year, the former FTX CEO sought a pardon from President Donald Trump, who has granted clemency to prominent industry figures.
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Ephraim Emmanuel | March 12, 2026
