FTX Users Demand Return of Crypto Assets Instead of Dollars
In a series of letters submitted to the federal judge overseeing the criminal case against Sam Bankman-Fried, the founder of FTX crypto exchange, users expressed their desire to have their cryptocurrencies returned rather than being reimbursed with US dollars. These letters serve as victim impact statements and aim to assist the judge in determining the appropriate sentence for Bankman-Fried.
Crypto Assets Represented Property for FTX Users
FTX users from around the world emphasized that their crypto assets held on the platform represented their property and not just dollar amounts. They viewed their investments as long-term endeavors that had the potential to change their lives. One victim highlighted the impact of losing their investments, stating, “This would have paid off very well for me, had Sam not stolen my investments from me.”
- Another user detailed the specific coins they held at the time of the bankruptcy petition in November 2022, including CEL, DOGE, LTC, LUNC, TRX, and XRP.
- They stressed that these assets were not mere monetary values but tangible representations of their property.
- The sentiment of wanting their assets returned was echoed by victims worldwide.
- An individual from Italy demanded the return of their original coins instead of receiving dollars.
Victims Share Emotional and Financial Toll
The victim impact statements reveal the emotional, physical, and financial toll experienced by FTX users. Many individuals shared stories of significant losses that had a profound impact on their lives:
- A person from Venezuela disclosed the loss of their life savings, which was significant enough to cover basic needs and provide an opportunity to relocate to another country.
- Some victims expressed regret over engaging in speculative investments or borrowing money for cryptocurrency ventures.
- A Canadian couple invested CAD $100,000 in FTX, driven by the brand’s widespread presence.
- A computer science professor not only invested their savings but also borrowed $220,000 in personal loans to buy Bitcoin on the FTX platform.
Users Call for Severe Sentence
While some individuals acknowledged their own mistakes, others demanded justice and called for a minimum sentence of 30 years for Bankman-Fried. They highlighted the significant impact his actions had on their lives and the lives of thousands of others. If Bankman-Fried were to receive the maximum sentence of 50 years, it would essentially be a life sentence as he would be 82 years old by the time it concludes.
John Ray III, the CEO and restructuring officer of FTX, criticized an attempt made by Bankman-Fried’s lawyers to reduce his sentence. He emphasized that the victims of the fraud “have suffered and continue to suffer.”
Hot Take: FTX Users Demand Crypto Assets Back
FTX users have submitted letters to the federal judge presiding over Sam Bankman-Fried’s criminal case, expressing their desire to have their crypto assets returned instead of receiving US dollars as compensation. These letters, known as victim impact statements, highlight the emotional and financial toll experienced by the victims. Many users view their crypto assets as property and not just monetary values. They demand justice and severe sentencing for Bankman-Fried, emphasizing the significant impact his actions had on their lives and calling for a minimum sentence of 30 years. The CEO of FTX has also voiced support for the victims and criticized attempts to reduce Bankman-Fried’s sentence.
Sources:
CourtListener,
Crypto News
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