On Tuesday, Sept. 24, 2024, Caroline Ellison, the former CEO of Alameda Research, was sentenced to 24 months in prison after admitting to her involvement in several crimes. The courtroom banned cameras, video, and phone recordings during the sentencing. Even though the judge commended her in court, saying, “I’ve seen a lot of cooperators in 30 years. I’ve never seen one quite like Ms. Ellison,” he still handed her a two-year sentence, according to Bloomberg reporters. Ellison is remanded to forfeit any proceeds from the FTX affair as well, the judge noted.

In Dec. 2022, Ellison cooperated with U.S. Federal Authorities in their investigation into FTX, which ultimately led to charges against FTX founder Sam Bankman-Fried. During that time, Ellison confessed to a range of offenses, including conspiracy to commit wire fraud, wire fraud against lenders, conspiracy to commit commodities fraud, securities fraud, and money laundering. In court, she disclosed that FTX had used customer funds to cover Alameda’s debts, fully acknowledging her knowledge of the situation. Ellison still received prison time, despite her testimony being pivotal in securing the case against Bankman-Fried.

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