Elon Bets SBF’s $5.2M PAC Donations Will Unlock Clemency… Biden to Repeat Clinton’s Marc Rich Move?

It’s hard to believe the FTX collapse is already two years in the rearview. Time flies when you’re unraveling the largest crypto scandal in history, doesn’t it? Since Sam Bankman-Fried’s (aka SBF) fall from grace set a Guinness World Record (for fastest billionaire-to-convict transformation), his former executives have been busy ratting him out and doing everything they can to shave years off their sentences.

Caroline Ellison, the former CEO of Alameda Research (and SBF’s smoking hot ex-girlfriend… SBF’s words, not ours), initially faced a potential 110-year prison sentence for her role in the $11 billion FTX debacle. But after cutting a deal and throwing SBF under the metaphorical bus (with receipts, of course), she scored a light two-year sentence. And now, even that’s been trimmed… her new release date is July 20, 2026, three months earlier than planned. (She must have aced the prison book club or seduced the judge.)

(Source: The New York Times)

Ryan Salame, the ex-CEO of FTX’s Bahamas operation, is also getting in on the early-release action. Sentenced in May 2023 to 7.5 years for his part in the fraud, Salame is now set to walk free in March 2031… over a year earlier than expected. Salame’s attorneys argued that he was clueless about the crimes at FTX’s core (despite being in the thick of them), but prosecutors weren’t buying it. Fun fact: before reporting to prison, Salame updated his LinkedIn profile to list his new gig as “Camper Librarian” at FCI Cumberland. (Nothing like taking career pivoting to new heights.)

(Source: New York Post)

Of course, this whole time Sam Bankman-Fried has been cozying up at Brooklyn’s Metropolitan Detention Center. SBF’s 25-year sentence stems from convictions on seven counts of fraud and conspiracy, including siphoning $8 billion from FTX customers to fund Alameda’s terrible bets and political donations. His defense? Blame everyone else… Ellison, Salame, his dog. (All that came of that was more memes.)

Now, speculation is swirling about whether SBF’s $5.2 million in donations to pro-Biden PACs during the 2020 election might score him clemency (fancy word for “forgiveness”). Historically, big political donors have a superpower for dodging lengthy sentences. Remember Marc Rich? He skipped out on $48 million in taxes but got a pardon from Bill Clinton after his ex-wife dropped big bucks on the Democratic Party. Or Paul Pogue, who landed a Trump pardon after his family forked over $200,000 to Trump’s campaign. Could SBF be next? Elon Musk seems to think so, tweeting that a pardon might be “in the cards.”

(Source: New York Post)

And let’s not forget FTX’s bankruptcy estate, which is hustling to claw back funds for creditors. In June, the estate promised to return 98% of claims in cash within 60 days of court approval. Great on paper, but customers are fuming because they missed out on the recent crypto rally while their funds were stuck in legal limbo.Lawsuits have been flying left and right… from Anthony Scaramucci’s SkyBridge Capital to lobbying groups backed by Mark Zuckerberg. (Yes, that Zuck.)

The optics of these reduced sentences? Not exactly a PR win. Ellison’s slap-on-the-wrist sentence (thanks to her star witness performance) has sparked plenty of debate. And Salame’s early release, despite pleading guilty to serious charges, only adds to the outrage. If SBF’s 25-year term gets slashed, expect public fury to go full nuclear.

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