TLDR
- The US Court of Appeals for the Second Circuit issued a formal mandate upholding SBF’s conviction and 25-year sentence.
- Three circuit judges rejected his claim that FTX investors could have been made whole with no losses.
- The court also upheld an $11 billion forfeiture order tied to the criminal case.
- With the mandate now official, SBF has very few legal options left to seek early release.
- A presidential pardon appears unlikely, and the US Senate unanimously voted against clemency last month.
Former FTX CEO Sam Bankman-Fried is running out of legal options after a US appeals court made its ruling against him official.
JUST IN: US appellate court affirms Sam Bankman-Fried conviction. If upheld, this reinforces accountability around leadership at failed exchanges and could impact risk sentiment around crypto executives and governance. $BTC $ETH pic.twitter.com/BOYnOcPVSY
— Bpay News (@bpaynews) August 6, 2026
The US Court of Appeals for the Second Circuit issued a formal mandate on Tuesday, following its June 12 ruling. The mandate affirms the lower court’s decision convicting Bankman-Fried on seven felony counts and sentencing him to 25 years in federal prison.
The move closes off one of the last remaining paths for Bankman-Fried to challenge his conviction from inside the courts.
Court Rejects SBF’s Key Appeal Argument
At the heart of Bankman-Fried’s appeal was the claim that FTX had enough liquidity to ensure investors were made whole and would not have experienced any losses.
Three circuit judges rejected that argument outright.
Circuit Judge Barrington D. Parker wrote that any suggestion Bankman-Fried lacked intent to defraud because he planned to repay customers was “legally misleading and prejudicial.”
Parker wrote that FTX customers were defrauded the moment Bankman-Fried transferred their money to Alameda Research, regardless of any plans to return the funds later.
The court said the wire fraud statute covers temporary misappropriation of money or property, not just permanent theft.
Forfeiture Order Also Upheld
The appeals court also upheld the $11 billion forfeiture order that was part of the original criminal case.
That order requires Bankman-Fried to forfeit assets connected to the fraud at FTX, the crypto exchange he founded.
Few Options Remain
With the appellate mandate now official, Bankman-Fried’s legal options are limited.
He could appeal to the Supreme Court, though that path faces long odds.
A presidential pardon from Donald Trump is another theoretical route, but Trump said in January he had no plans to pardon Bankman-Fried.
Last month, the US Senate voted unanimously to adopt a resolution opposing clemency for the former FTX chief executive.
That bipartisan vote makes a pardon politically unlikely.
FTX collapsed in November 2022 in one of the largest financial failures in crypto history. Bankman-Fried was arrested shortly after and faced trial in 2023.
He was convicted on all seven felony counts, including wire fraud and conspiracy to commit money laundering.
The Second Circuit’s mandate is now the official final word from the appellate level, leaving Bankman-Fried with little legal ground to stand on.
