Sam Bankman-Fried, the co-founder and CEO of FTX, one of the world’s largest cryptocurrency exchanges, is facing a harsh reality behind bars after being arrested on charges of money laundering and tax evasion in October 2023. The 31-year-old billionaire, who was once ranked as the second-richest person in the crypto industry by Forbes, is now trading canned fish for prison services, according to multiple reports.
Bankman-Fried, who is being held at the Brooklyn Detention Center in New York, has reportedly adapted to the prison economy by using mackerel as a form of currency. He told the Wall Street Journal that he paid two cans of mackerel for a haircut from another inmate and that he also uses the fish to buy snacks, toiletries, and phone cards.
The Prison Economy of Mackerel and How SBF Adapted to It
Mackerel, also known as “macks” or “the coin of the realm”, is a popular commodity among prisoners because it is cheap, durable, and easy to store. According to a 2004 study by the Federal Bureau of Prisons, a can of mackerel costs about 94 cents at the prison commissary and can be exchanged for goods and services worth up to $2.
Bankman-Fried, who has a net worth of $16.2 billion according to Forbes, said he does not miss his lavish lifestyle outside the prison walls. He said he spends most of his time reading books, meditating, and giving crypto tips to his fellow inmates. He also said he is optimistic about his legal situation and hopes to resume his business activities once he is released.
Bankman-Fried is one of several prominent figures in the crypto industry who have been targeted by the U.S. authorities in recent months. The crackdown is part of a broader effort to regulate the fast-growing and volatile sector, which has attracted millions of investors and traders around the world. Bankman-Fried’s arrest has caused a significant drop in the value of FTX’s native token, FTT, which has fallen by more than 50% since October.
