Former Alameda Research CEO Caroline Ellison was sentenced on Sept. 24 to two years in a minimum-security prison for her role in the collapse of FTX.
The sentence was handed down by Judge Lewis Kaplan of the District Court of Southern New York, who also ordered Ellison to forfeit the roughly $11 billion she earned from FTX.
Kaplan stated that Ellison’s surrender date would be set on or after Nov. 7.
A light sentence was given, considering Ellison could have faced up to 110 years in prison for her crimes. However, the judge expressed considerable sympathy for her situation. According to Bloomberg, he told her:
“You’re a very strong person, Ms. Ellison, in some ways, but not inviolable. Mr. Bankman-Fried had your Kryptonite. […] You were vulnerable and you were exploited.”
Ellison clasped her hands in front of her as the sentence was read, with family members present at the trial visibly emotional.
She also voiced concerns about harassment from the crypto community, both in media and in real life, which has left her fearful of public appearances.
Ellison cooperated extensively with the prosecution in the case against Sam Bankman-Fried, her former colleague and purported boyfriend, leading the prosecution to recommend leniency for her.
Her lawyers had requested a sentence of time served, but Kaplan stated there would be no “get out of jail free” card.
The sentencing raises expectations that co-defendants and former FTX executives Gary Wang and Nishad Singh will also face jail time. Singh is scheduled for sentencing on Oct. 30, while Wang’s is set for Nov. 20.
Like Ellison, both have pleaded guilty to their charges.
Former FTX executive Ryan Salame was sentenced to seven and a half years in prison in May, and FTX founder Sam Bankman-Fried received a 25-year sentence in March.