What to Expect in Crypto This Week: SBF’s Sentencing, Token Unlocks, and Do Kwon’s Fate
It’s the last week of Q1 and, fifteen months after the collapse of FTX, the last week of Sam Bankman-Fried’s criminal trial. Bankman-Fried is scheduled to be sentenced by Judge Lewis Kaplan, who has presided over his trial since the beginning, this Thursday, March 28.
Bankman-Fried’s sentencing isn’t the only major event in crypto coming up this week, nor the only major event in FTX’s story. Read on to find out what to expect in crypto from this coming week.
SBF’s Sentencing Depends on One Man
U.S. prosecutors, led by Damian Williams, the U.S. Attorney for the Southern District of New York, have asked Judge Kaplan to lock Bankman-Fried up for 40 to 50 years for his role in orchestrating “likely the largest fraud in the last decade.” Bankman-Fried’s family, supporters, and even a prison roommate, meanwhile, have pleaded for leniency, highlighting his struggles thus far in prison. Bankman-Fried’s lawyers have suggested a much lighter sentence of 63 to 78 months.
Now, Bankman-Fried’s sentence will come down to Judge Kaplan. While Bankman-Fried’s lawyers occasionally drew the ire of the shrewd 79-year-old, during the trial his questions and suggestions demonstrated a deep understanding of FTX’s collapse. Kaplan’s treatment of Bankman-Fried, along with the co-conspirators who testified against him, will undoubtedly set a precedent for similar cases of financial fraud in the future.
The story of FTX doesn’t stop with Bankman-Fried, however; this week, the Unabomber’s prosecutor, Robert Cleary, was given the green light to investigate FTX’s law firm Sullivan and Cromwell, which advised the company both before and after the bankruptcy.
“S&C may have violated ethical duties of confidentiality, candor, and loyalty by…duping Bankman-Fried into giving control of FTX to [new CEO John] Ray (whom S&C chose) with promises that Bankman-Fried would play a significant role in the reorganization— promises S&C surely knew were false,” two law professors wrote this week, referring to Sullivan and Cromwell.
Optimism and dYdX Lead Token Unlocks
In token unlocks news, according to Token Unlocks data, Layer 2 network Optimism is set to unlock 24.16 million OP tokens, worth about $91.5 million at current prices, on Friday, Mar. 29. Decentralized exchange dYdX will unlock 33.33 million tokens, worth about $110 million at current prices, on Sunday, Mar. 31.
Other significant unlocks: On Mar. 27, gaming community firm Yield Guild Games will unlock $16.7 million worth of tokens and decentralized AI service SingularityNet will unlock $9.3 million worth of tokens. On Mar. 30, blockchain gaming platform Echelon Prime will unlock $37.5 million worth of tokens while Layer 1 network Sui will unlock $6 million worth of tokens on the same date.
Where Will Do Kwon End Up?
Do Kwon, the founder of Terraform Labs and the luna cryptocurrency was released from Montenegrin prison this week. It remains unclear whether Do Kwon will be extradited to South Korea or the United States; both jurisdictions remain undecided over where he’ll end up.
🔥 Hot Take: A Week of High-Stakes Events in Crypto 🔥
As we enter the final week of Q1, there are several high-stakes events unfolding in the crypto world. From the eagerly awaited sentencing of Sam Bankman-Fried to significant token unlocks and the uncertain fate of Do Kwon, this week promises to be filled with suspense and potential game-changing outcomes.
Stay tuned as we witness the culmination of these events that could shape the future of crypto and set precedents for financial fraud cases. It’s a crucial time for the industry, and all eyes are on the developments that will unfold in the coming days. 🚀
Theon Barrett shines as a distinguished crypto analyst, accomplished researcher, and skilled editor, making significant strides in the field of cryptocurrency. With an astute analytical approach, Theon brings clarity to intricate crypto landscapes, offering insights that resonate with a broad audience. His research prowess goes hand in hand with his editorial finesse, allowing him to distill complex information into accessible formats.