FTX Executives Salame and Ellison See Reduced Prison Sentences

Ryan Salame and Caroline Ellison, former FTX executives, have seen reductions in their prison sentences after being convicted for their roles in the infamous crypto fraud orchestrated by their ex-boss, Sam Bankman-Fried.

Salame, once a senior executive at the now-bankrupt FTX cryptocurrency exchange, pleaded guilty to fraud charges in September 2023 and received a 7 1/2-year federal prison sentence in May. He began serving his sentence in October, but the Federal Bureau of Prisons now lists his release date as March 1, 2031, over a year earlier than the initial date of April 2032. Business Insider first reported the updated release date.

Ellison, the former CEO of FTX’s hedge fund arm, Alameda Research, and Bankman-Fried’s former girlfriend, was sentenced to two years in prison after pleading guilty to seven counts of fraud and conspiracy. She also served as a key witness in the case against Bankman-Fried. Her release date is now set for July 20, 2025, three months earlier than initially scheduled. Bankman-Fried, who received a 25-year sentence, does not yet have a listed release date.

The Bureau of Prisons has not commented on the changes. However, in similar cases, the bureau has cited good conduct time (GCT) as a factor in calculating revised release dates. Eligible inmates can earn up to 54 days of GCT annually, along with additional time credits for participating in prison programs.

FTX was once a prominent crypto trading platform, celebrated for its perceived safety and security. Its name was featured on the Miami sports arena and Major League Baseball umpire uniforms, and it boasted celebrity endorsements. However, the platform collapsed in November 2022 amid rumors of close financial ties between FTX and Alameda Research, leading to a massive withdrawal of customer funds and subsequent bankruptcy.