More than two years after FTX collapsed and reshaped the crypto industry, Sam Bankman-Fried is still fighting.

 

The former FTX CEO, now serving a 25 year federal prison sentence, has formally moved for a new trial in Manhattan federal court. The filing argues that key evidence was excluded, important testimony never reached the jury, and that the original proceedings did not present the full picture of what was happening inside the exchange before its implosion.

 

It is a long shot. But it keeps one of crypto’s biggest scandals squarely in the headlines.

 

 

A Quick Reset: How We Got Here

FTX was once valued at $32 billion and marketed itself as the responsible face of crypto trading. Bankman-Fried cultivated relationships in Washington, testified before Congress, and presented himself as a regulator-friendly industry leader.

 

That narrative unraveled in November 2022.

 

After a liquidity crunch exposed a multibillion-dollar hole in FTX’s balance sheet, the exchange halted withdrawals and filed for bankruptcy. Prosecutors later alleged that customer deposits were secretly routed to Alameda Research, Bankman-Fried’s trading firm, where the funds were used for speculative bets, venture investments, loans to executives, and political donations.

 

The case moved quickly. By late 2023, a jury found Bankman-Fried guilty on seven counts including wire fraud, securities fraud, and conspiracy. Several former executives, including Caroline Ellison and Nishad Singh, testified for the government. In 2024, Judge Lewis Kaplan sentenced him to 25 years in prison.

 

It was one of the most significant criminal convictions in crypto’s short history.

 

 

The Argument for a New Trial

Bankman-Fried’s latest filing hinges on a legal mechanism that allows courts to grant a new trial if newly discovered evidence could materially affect the verdict, or if there were serious procedural errors.

 

His motion makes a few central claims.

 

First, that certain testimony from former FTX and Alameda insiders was either excluded or not fully presented to the jury. According to the filing, that testimony could challenge the government’s portrayal of FTX as hopelessly insolvent and operating as a straightforward fraud.

 

Second, the defense argues that FTX’s collapse was more akin to a bank run than an inevitable implosion. In this telling, the exchange had assets and would have recovered if not for the sudden withdrawal panic that followed public reporting about its balance sheet. That argument goes directly to intent, which was central to the prosecution’s case.

 

Third, the motion questions the credibility of cooperating witnesses. Bankman-Fried claims some testimony evolved under government pressure and suggests that early statements made by insiders painted a more ambiguous picture of events than what jurors ultimately heard.

 

The filing also calls for Judge Kaplan to step aside from reviewing the request, alleging bias in evidentiary rulings during trial.

 

None of this is easy to prove. Courts rarely grant new trials once a conviction has been secured and upheld through sentencing. The legal threshold is high, particularly in complex financial cases where juries have already weighed extensive testimony.

 

 

The Broader Legal Strategy

The new trial motion is separate from Bankman-Fried’s ongoing appeal. That appeal focuses on whether the trial court made reversible legal errors, including limiting certain lines of defense.

 

Appeals courts typically give trial judges considerable leeway in managing evidence and courtroom procedure. Overturning a conviction requires demonstrating more than disagreement. It requires showing that errors materially affected the outcome.

 

For now, the new filing appears to be part of a layered strategy. Preserve every argument. Challenge every ruling. Keep procedural options open.

 

 

The Bottom Line

FTX’s collapse triggered one of the most severe credibility crises crypto has faced. Billions in customer assets were trapped. Venture capital firms wrote down massive stakes. Regulators in the U.S. and abroad accelerated enforcement and oversight efforts.

 

Even as the industry shifts toward ETF approvals, institutional adoption, and regulatory frameworks, the FTX saga remains a reference point. It is cited in congressional hearings, enforcement actions, and investor debates about custodial risk.

 

Bankman-Fried’s continued legal maneuvers keep the story alive, even if the odds of a successful retrial remain slim.

 

For many in crypto, the question is less about whether he gets a second trial and more about what the case ultimately represents. Was FTX an isolated failure of governance and internal controls, or proof that parts of the industry scaled too quickly without guardrails?

 

The courts will decide the narrow legal questions. The market, as always, is deciding the broader narrative in real time.

 

For now, one of crypto’s most infamous founders is still arguing that the story jurors heard was incomplete. Whether a judge agrees is another matter entirely.

In the bustling heart of New York City, a courtroom drama of epic proportions is unfolding, and the eyes of the world are fixed upon it. This high-stakes trial involves none other than Sam Bankman-Fried, the prominent figure in the cryptocurrency world. And bringing you the latest live updates from the frontlines is none other than the intrepid journalist, Tiffany Fong.

Caroline Ellison's Shocking Testimony

Today marked a pivotal moment in the trial as Caroline Ellison, one of Sam Bankman-Fried's top deputies and his former romantic partner, took the stand. The revelations that poured forth during her testimony sent shockwaves through the courtroom and the entire cryptocurrency community.

Ellison, who once oversaw the day-to-day operations at Alameda Research, a crypto trading firm controlled by Bankman-Fried, made some truly startling admissions. She testified that she was, in fact, directed by Bankman-Fried himself to engage in a series of financial misdeeds. Among her shocking claims, Ellison asserted that Alameda Research had taken a jaw-dropping $14 billion from FTX customers to repay debts accrued by the company.

A Trailblazing Reporter on the Scene

In the midst of this riveting courtroom drama, one journalist stands out for her dedication and commitment to delivering the latest updates straight from the scene. Tiffany Fong, the dynamic and fearless reporter, has positioned herself in the heart of the action. Despite the trial's non-televised nature and strict restrictions on electronic devices, Tiffany Fong is on the frontlines, ensuring that you don't miss a single development.

Following Tiffany Fong for Real-Time Updates

As this trial continues to captivate audiences worldwide, Tiffany Fong's reporting is your go-to source for real-time insights and in-depth analysis. Her dedication to delivering accurate and up-to-date information is nothing short of commendable. While other news outlets might be playing catch-up, Tiffany Fong is ahead of the curve. https://twitter.com/TiffanyFong_