TL;DR
- Ryan Salame, former FTX executive, has had more than a year reduced from his sentence.
- His new release date is set for March 1, 2031, after serving time for his involvement in FTX’s fraud and illegal activities.
- The reduction in sentence could be linked to the First Step Act, which allows inmates to earn time off for good behavior.
FTX’s former executive, Ryan Salame, has had his prison sentence reduced by more than a year. Initially sentenced to 7.5 years in May 2023 for his involvement in the fraudulent activities at the now-collapsed cryptocurrency exchange, Salame’s new expected release date is March 1, 2031. He began serving his sentence in October 2023 at the Federal Correctional Institution in Cumberland, Maryland.
Salame had pleaded guilty to several charges, including illegal campaign donations and operating an unlicensed money transmission business, all tied to the massive fraud orchestrated by FTX and its founder, Sam Bankman-Fried.
His reduced sentence could be attributed to the First Step Act of 2018, a U.S. law that allows inmates to reduce their sentence for exemplary behavior. Under this law, qualifying prisoners can earn up to 54 days off per year of their sentence for good conduct.
FTX Fraud and Sentence Reductions for Inmates
The Bureau of Prisons has stated that all inmates are entitled to earn Good Conduct Time (GCT), which is pro-rated for the last year of a sentence. However, the agency did not comment specifically on Salame’s case, and his lawyers have not responded to requests for clarification.
Salame was an integral part of Sam Bankman-Fried’s inner circle, and after FTX’s collapse in late 2022, several executives, including Caroline Ellison, also pleaded guilty to charges connected to the fraud. Bankman-Fried was sentenced to 25 years in prison for masterminding a scheme that defrauded investors out of billions of dollars.
Salame’s case highlights the ongoing legal and financial ramifications following the fall of FTX, and the broader consequences for those involved in its fraudulent activities.
