Caroline Ellison, the former advisor and ex-girlfriend of convicted crypto fraudster and FTX founder Sam Bankman-Fried, was sentenced to two years in prison by a US district court judge. Ellison’s role in the $8 billion fraud committed by the FTX crypto exchange resulted in her guilty plea at the end of 2022, while Bankman-Fried was being extradited to the US. She was also sentenced to three years of supervised release. Ellison, who was the former CEO of FTX’s sister company Alameda Research, diverted funds to hide risks from clients. Prosecutors revealed that she testified against Bankman-Fried in his criminal fraud trial and her cooperation with investigators was deemed “exemplary.” Bankman-Fried, who received a 25-year sentence, had his house arrest and bail revoked for attempting to influence Ellison’s testimony. He is currently serving his sentence in federal prison, awaiting appeal for his conviction. Prior to her sentencing, Ellison issued a statement expressing remorse for her actions and the people she defrauded, stating, “Not a day goes by that I don’t think of the people I hurt. I am deeply ashamed of what I have done.”
