# Sam Bankman convicted 2023-11-02 (was living with parents, then jail). Is BTC and cryptocurrency busted too? **URL:** \ **Category:** In My Humble Opinion\ **Created:** [December 23, 2022, 8:10pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019 "2022-12-23T20:10:03Z")\ **Posts on this page:** 20\ **Page:** 17
**Author:** ![F.U.Shakespeare](https://avatars.discourse-cdn.com/v4/letter/f/aca169/32.png) [@F.U.Shakespeare](https://boards.straightdope.com/u/F.U.Shakespeare)\ **Post date:** [November 4, 2023, 9:25am UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/321 "2023-11-04T09:25:13Z")
> [@chappachula](#): > > My favorite line about crypto is from comedian Bill Maher. He said that he looked into bitcoin, but: " I don"t understand it. And neither do you". Reminds me of Richard Feynman’s: “If you think you understand quantum mechanics, you don’t understand quantum mechanics.” ---
**Author:** ![not\_what\_you\_d\_expect](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/not_what_you_d_expect/32/3246_2.png) [@not\_what\_you\_d\_expect](https://boards.straightdope.com/u/not_what_you_d_expect)\ **Post date:** [November 4, 2023, 10:32am UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/322 "2023-11-04T10:32:59Z")
The maximum sentence is 110 years! 😲 ---
**Author:** ![TokyoBayer](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/tokyobayer/32/13989_2.png) [@TokyoBayer](https://boards.straightdope.com/u/TokyoBayer)\ **Post date:** [November 4, 2023, 10:50am UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/323 "2023-11-04T10:50:31Z")
> [@Northern\_Piper](#): > > And Steve Bannon - convicted July 2022, sentenced October 2022, for a very straightforward matter: failure to obey a congressional subpoena. So it seems to be a thing? Was he convicted in Federal court? IANAL, but my understanding is that for sentencing for Federal crimes takes much longer than in state courts because of Congress has established sentencing guideline in an attempt to obtain similar levels of sentences for similar crimes throughout all of the 94 federal judical districts. Here is a [four-minute video](https://www.youtube.com/watch?v=iaIxPu5oAEo) with the basics. Here is [an explanation](https://federalcriminallawcenter.com/criminal-defense-services/sentencing/federal-sentencing/) from a defense attorney. > [@](#): > > Once you are convicted of a federal offense, either in court or through a plea agreement, federal sentencing typically doesn’t occur until between 75-90 days later. A number of things are taking place during this time, and your experienced federal criminal defense attorney will be involved throughout the process to make sure correct procedures are followed, and that your rights are protected. > [@](#): > > In preparation for your sentencing, a probation officer will create a [pre-sentence report (PSR)](http://en.wikipedia.org/wiki/Presentence_investigation_report) to give to the district court judge, and will interview you to obtain information for the report. The PSR will cover a number of personal topics as your prior criminal record, employment history, health, family background and other topics. Your criminal defense attorney may be present during the interview for guidance (and we recommend it), and you have the right to refuse to answer certain questions; however, the answers you give must be honest and truthful, or you could face additional charges. > [@](#): > > The United States Sentencing Guidelines (USSG) were created by the [United States Sentencing Commission](http://www.ussc.gov/) to establish uniform standards for federal judges when determining sentences for federal crimes. While the guidelines themselves are not mandatory, the judge typically doesn’t vary from them unless there is a significant reason to do so. The USSG basically ranks [federal crimes](https://federalcriminallawcenter.com/crimes/) by offense level, then cross-checks them on a chart with the defendant’s prior criminal history to establish a prescribed sentence range. This is why the PSR is so important: the federal sentencing guidelines don’t just measure the severity of your crime, but also place the crime in the context of your history. In short, there is this addtional process of ---
**Author:** ![hajario](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/hajario/32/171_2.png) [@hajario](https://boards.straightdope.com/u/hajario)\ **Post date:** [November 4, 2023, 1:19pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/324 "2023-11-04T13:19:47Z")
One of my high school buddies got a job with the Feds after he passed the bar. It’s the cushiest job in the world. No overtime, good pay and a pension. He looks at the history and the crimes of the convicted criminal and prepares a report for the prosecution for the sentencing range and which type of prison they should go to. ---
**Author:** ![Northern\_Piper](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/northern_piper/32/5304_2.png) [@Northern\_Piper](https://boards.straightdope.com/u/Northern_Piper)\ **Post date:** [November 4, 2023, 1:32pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/325 "2023-11-04T13:32:04Z")
> [@TokyoBayer](#): > > Was he convicted in Federal court? Yes, for contempt of Congress. (Not sure if that was the formal charge, but that’s what it was — failure to obey congressional subpoena.) Length of time to prepare pre-sentence reports still seems odd to me, but different systems, different rhythms, I guess. ---
**Author:** ![TokyoBayer](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/tokyobayer/32/13989_2.png) [@TokyoBayer](https://boards.straightdope.com/u/TokyoBayer)\ **Post date:** [November 4, 2023, 1:44pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/326 "2023-11-04T13:44:01Z")
I mean SBF. If it’s a federal court case, then the delay is normal. ---
**Author:** ![Chronos](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/chronos/32/134_2.png) [@Chronos](https://boards.straightdope.com/u/Chronos)\ **Post date:** [November 4, 2023, 2:16pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/327 "2023-11-04T14:16:58Z")
> [@PhillyGuy](#): > > There’s an acronym in the cyrpto world DYOR ([Do Your Own Research](https://www.babypips.com/crypto/glossary/do-your-own-research-dyor)). The implication is that if you got rooked, it probably is your own fault, since you must have been careless. But [what I got out of reading this book](https://www.kirkusreviews.com/book-reviews/ben-mckenzie/easy-money-cryptocurrency/) is that virtually no one in the crypto consumer world is capable of the sort of math heavy, error-free, own-research needed to reliably detect that they are being played, and, eventually, the great majority are played. Nah, anyone who graduated from middle school should have the research chops to determine that if anyone is trying to sell you crypto anything, you’re probably getting played. ---
**Author:** ![Dewey\_Finn](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/dewey_finn/32/4222_2.png) [@Dewey\_Finn](https://boards.straightdope.com/u/Dewey_Finn)\ **Post date:** [November 4, 2023, 2:56pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/328 "2023-11-04T14:56:29Z")
You could put your money in a traditional bank account and collect interest, but that would be boring. Much more exciting to gamble on cryptocurrencies where not only the value of the thing is highly volatile but there’s also the strong possibility that the people to whom you entrust your bitcoin end up stealing or losing it. ---
**Author:** ![Northern\_Piper](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/northern_piper/32/5304_2.png) [@Northern\_Piper](https://boards.straightdope.com/u/Northern_Piper)\ **Post date:** [November 4, 2023, 3:50pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/329 "2023-11-04T15:50:47Z")
> [@TokyoBayer](#): > > I mean SBF. If it’s a federal court case, then the delay is normal. Sorry, I got confused. Yes, prosecuted by the federal Southern District of New York, the major commercial crimes prosecution group in the country. ---
**Author:** ![TokyoBayer](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/tokyobayer/32/13989_2.png) [@TokyoBayer](https://boards.straightdope.com/u/TokyoBayer)\ **Post date:** [November 5, 2023, 8:05am UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/330 "2023-11-05T08:05:14Z")
> [@Northern\_Piper](#): > > Yes, prosecuted by the federal Southern District of New York, the major commercial crimes prosecution group in the country. Yeah, so the time between conviction and sentencing is normal. ---
**Author:** ![The\_Librarian](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/the_librarian/32/402_2.png) [@The\_Librarian](https://boards.straightdope.com/u/The_Librarian)\ **Post date:** [November 6, 2023, 11:36am UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/331 "2023-11-06T11:36:29Z")
You can tell me all you want about stuff he wrote. But I’ve seen the kid he raised. ---
**Author:** ![JRDelirious](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/jrdelirious/32/9531_2.png) [@JRDelirious](https://boards.straightdope.com/u/JRDelirious)\ **Post date:** [November 6, 2023, 1:23pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/332 "2023-11-06T13:23:54Z")
OTOH I can also see him grow up around all that academic/legal talk about the established system… and thinking to himself _“f\_\_\_ that, I’m going to be partying and making money”_, but grabbing on to the “effective altruism” figleaf as a way to self-justify. ---
**Author:** ![RickJay](https://avatars.discourse-cdn.com/v4/letter/r/bb73d2/32.png) [@RickJay](https://boards.straightdope.com/u/RickJay)\ **Post date:** [November 6, 2023, 1:51pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/333 "2023-11-06T13:51:29Z")
> [@chappachula](#): > > My favorite line about crypto is from comedian Bill Maher. He said that he looked into bitcoin, but: " I don"t understand it. And neither do you". I think people do understand it right away and then decide that it must be more complicated than that and so become convinced they don’t get it, but the truth is that it’s very simple; people create their own money online and then convince themselves it’s worth something. That’s really it. In a few cases, like Bitcoin or Ethereum, it takes off; in thousands of others, it never does. Which is what you’d expect. It’s really simple - which is why the cryptobros have to MAKE it sound complex. The Sam Bankman-Fried case, as others have pointed out, isn’t really specifically a crypto crime, it’s just good old-fashioned fraud. You could have committed precisely the same crimes with deposits of US dollars, Chinese yuan, or South African rand. In theory - but had some shempily dressed rich boy come around saying “everyone gimme your money and I’ll hold on to it for you,” he would not have had a single depositor. Not one. He only got anyone interested in him because you had to convert your money into crypto before handing it over to him, and the cryptobros make that sound complex and new. It’s not. ---
**Author:** ![LSLGuy](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/lslguy/32/5813_2.png) [@LSLGuy](https://boards.straightdope.com/u/LSLGuy)\ **Post date:** [November 6, 2023, 3:38pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/334 "2023-11-06T15:38:09Z")
> [@RickJay](#): > > people create their own money online and then convince themselves it’s worth something. That’s really it. IOW … It’s Beanie Babies with bits. At one time those things were circulating as a currency among collectors with enough mania. ---
**Author:** ![Omar\_Little](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/omar_little/32/269_2.png) [@Omar\_Little](https://boards.straightdope.com/u/Omar_Little)\ **Post date:** [November 13, 2023, 6:09pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/335 "2023-11-13T18:09:33Z")
Sentencing of up to life has been discussed and punted around, but I highly doubt that SBF will likely ever be put into a position within a company, or be able to raise money with investors that he could repeat his crimes. So rehabilitation or prevention of recidivism seems to not be a motive for imprisonment, but just plain punishment. Is there any way that he could assist law enforcement in ferreting out other fraudsters, much like Frank Abagnale (Catch Me if You Can, guy)? Or was his form of fraud so unique that it’s not likely to be repeated on a wide scale this his cooperation wouldn’t be worth much? ---
**Author:** ![hajario](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/hajario/32/171_2.png) [@hajario](https://boards.straightdope.com/u/hajario)\ **Post date:** [November 13, 2023, 6:16pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/336 "2023-11-13T18:16:52Z")
> [@Omar\_Little](#): > > Or was his form of fraud so unique that it’s not likely to be repeated on a wide scale this his cooperation wouldn’t be worth much? His form of fraud was so common that his cooperation wouldn’t be worth much. It’s typical accounting fraud but on a very large scale with crypto dressing. I think that he’ll get in the 20 to 30 year range and his cohorts who flipped will get around ten. What’s interesting is what liability his parents have, particularly his father who was in on a lot of the communications. ---
**Author:** ![snowthx](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/snowthx/32/10660_2.png) [@snowthx](https://boards.straightdope.com/u/snowthx)\ **Post date:** [November 13, 2023, 6:19pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/337 "2023-11-13T18:19:23Z")
> [@Omar\_Little](#): > > So rehabilitation or prevention of recidivism seems to not be a motive for imprisonment, but just plain punishment. I think setting an example for other potential fraudsters is going to play into how much time he gets. ---
**Author:** ![Cervaise](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/cervaise/32/16693_2.png) [@Cervaise](https://boards.straightdope.com/u/Cervaise)\ **Post date:** [November 13, 2023, 6:29pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/338 "2023-11-13T18:29:59Z")
^^^ This. Based on his testimony he’s a smug little shithead with neither conscience nor contrition. He is most useful to society as a deterrent. ---
**Author:** ![Stanislaus](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/stanislaus/32/3391_2.png) [@Stanislaus](https://boards.straightdope.com/u/Stanislaus)\ **Post date:** [November 13, 2023, 6:30pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/339 "2023-11-13T18:30:23Z")
> [@Omar\_Little](#): > > I highly doubt that SBF will likely ever be put into a position within a company, or be able to raise money with investors that he could repeat his crimes People probably said the same about Barry Minkow. > **[Barry Minkow](https://en.wikipedia.org/wiki/Barry_Minkow)** > > Barry Jay Minkow (born March 22, 1966) is a former American businessman, pastor, and convicted felon. While still in high school, Minkow founded ZZZZ Best (pronounced "Zee Best"), which appeared to be an immensely successful carpet-cleaning and restoration company. However, it was actually a front to attract investment for a massive Ponzi scheme. ZZZZ Best collapsed in 1987, costing investors and lenders $100 million in one of the largest investment frauds ever perpetrated by a single person, Af... Yet he came out of jail from his first massive fraud, and promptly embezzled his fellow churchgoers Con men can always find another sucker. ---
**Author:** ![Mighty\_Mouse](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/mighty_mouse/32/7776_2.png) [@Mighty\_Mouse](https://boards.straightdope.com/u/Mighty_Mouse)\ **Post date:** [November 13, 2023, 7:23pm UTC](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019/340 "2023-11-13T19:23:22Z")
A former coworker of mine having served 6.5 years of a 10 year sentence for fraud, was released and promptly employed by the church he gave a ton of money to before his fraud conviction was uncovered. According to his ex-wife, the church’s accounts wouldn’t bear much scrutiny. His now adult children are steadfast in their belief that Dad is a Godly man who was railroaded. [Previous page](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019.md?page=16) [Next page](https://boards.straightdope.com/t/sam-bankman-convicted-2023-11-02-was-living-with-parents-then-jail-is-btc-and-cryptocurrency-busted-too/977019.md?page=18)