FTX founder Sam Bankman-Fried sentenced to 25 years in prison, Dogecoin extends rally

0

Last Updated on 29 March 2024 by CryptoTips.eu

Every stock market crash needs a villain. More specifically, the public needs someone they can be angry with and blame for their monetary loss. During the 2007-2008 financial crisis, the villains were Bernie Madoff (who had set up a pyramid investment fund) and Dick Fuld (the former CEO of Lehman Brothers).

The villain of the 2022 crypto crisis was found quite easily. FTX founder Sam Bankman-Fried, once the poster boy of Silicon Valley and the example for a lot of young entrepreneurs, was sentenced yesterday to 25 years in prison.

On the broader altcoin market meanwhile, investors took notice of the ongoing Dogecoin rally. The ultimate memecoin rose after rumors surfaced that payments with Doge on X, formerly Twitter, might be possible soon.

Advertentie.

Bill Clinton and Tony Blair

There is a famous photo of Sam Bankman-Fried talking about crypto at a conference. The image dates back to early 2022. Bitcoin was trading at around $20,000 at that time and Tesla had just announced that it had added crypto as an official investment.

Sam sits on a chair next to former British Prime Minister Tony Blair and former US President Bill Clinton. Both men are dressed in suit and crisp shirts while Sam wears an old t-shirt, sneakers and shorts. Everyone listens to what Sam says about crypto, the FTX platform and Bitcoin. That moment was probably the height of his fame.

Back then, he was one of the richest people in the world according to business magazine Forbes.

Ten months later and FTX, the third largest crypto platform in the world at the time, collapses, losing tens of billions of dollars. The platform’s own cryptocurrency, called FTT, lost 99% of its value in just one week.

Thousands of American, Asian and European customers lost their money and no one knows if they will ever be able to recoup their losses.

“We were overconfident,” Sam Bankman-Fried said on social media at the time.

Arrest of SBF

On December 12 of that same year, Sam was arrested in the Bahamas and later extradited to the United States. When he was convicted of fraud in 2023, it seemed as if the Americans had found their villain and suddenly the price of Bitcoin started to rise again.

Now, just weeks after Bitcoin hit a new all-time high of $74,000, Sam has been sentenced to 25 years in prison.

Dogecoin rally

Dogecoin, the largest memecoin, rose rapidly yesterday after ‘Mishaboar’, a well-known software developer from the Dogecoin community, indicated that payments with Doge on X, the former Twitter, might soon be possible.

According to the well-known crypto analyst Rekt Capital, Dogecoin is now starting a new leg up and has left a declining trend channel, which started after the 2021 top. We’ll know in a few weeks if it’s true.

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
View all posts