Reports indicate that preparations are underway to transfer Sam “SBF” Bankman-Fried, the former CEO of FTX, from New York to a federal facility in California near his parents’ residence. The Wall Street Journal reported on May 22 that Bankman-Fried may spend the majority of his sentence at the Federal Correctional Institution in Mendota, despite his legal team’s request for him to remain in New York while his appeal is ongoing. In March, a federal judge sentenced Bankman-Fried to 25 years in prison after he was found guilty on seven felony charges.
Since his bail was revoked in August 2023, prior to his trial, Bankman-Fried has been held at the Metropolitan Detention Center (MDC) in Brooklyn. Following his sentencing, he expressed his desire to remain at the Brooklyn prison in order to have easier access to his appellate counsel, as stated in his notice to appeal his conviction and sentence.
If Bankman-Fried is transferred to FCI Mendota, he will be approximately 200 kilometers away from his parents’ home in California, where he spent a significant amount of time after being extradited from the Bahamas and indicted in 2022 and 2023. The Federal Bureau of Prisons’ website states that the facility currently houses 931 inmates.
SBF maintains his innocence as he engages in rice trading while in jail. He is the first individual associated with the downfall of FTX and Alameda Research to receive a prison sentence for his involvement in defrauding customers. His associates, Ryan Salame, Caroline Ellison, Gary Wang, and Nishad Singh, have all pleaded guilty and are awaiting sentencing. Salame’s sentencing hearing is scheduled for May 28.
There has been speculation online about whether Bankman-Fried and former Binance CEO Changpeng “CZ” Zhao will be housed in the same facility. However, it is unlikely as Zhao, after pleading guilty, was sentenced to four months in prison to be served in either Washington or Oregon. At the time of publication, no decision had been made regarding his reporting date.
Inner City Press and X Hall of Flame magazine have reported that Alex Mashinsky is set to receive a shorter prison sentence than Bankman-Fried.