Senate unanimously opposes Trump pardon for SBF after FTX fraud conviction

Senate urges denial of pardon for FTX founder

The Senate approved S. Res. 772 by unanimous consent on July 15, making clear its collective opposition to any presidential pardon or commutation for Bankman-Fried. Sponsored by Senators Cynthia Lummis and Ruben Gallego, the resolution does not carry the force of law but places each senator on the record regarding the high-profile case.

Senators Lummis and Gallego have both played key roles in shaping federal digital asset policy, and their leadership on this measure was widely recognized by policymakers and industry observers. News pointed out that the Senate’s action marked rare bipartisan unity in response to a crypto fraud scandal of this magnitude.

The Senate’s resolution, while symbolic, serves as a political warning rather than a legal restriction, highlighting the chamber’s unified stance on accountability in crypto-related crimes.

Despite the Senate’s action, the vote does not impose any legal barrier on the president’s constitutional authority to grant federal pardons. The measure mainly reflects lawmakers’ views amid growing scrutiny on crypto fraud cases and high-profile figures.

Mini dictionary: FTX, a now-defunct cryptocurrency exchange founded by Sam Bankman-Fried, collapsed in 2022 following revelations of fraud and misuse of customer funds, resulting in one of the most significant scandals in the digital asset industry.

Presidential authority remains intact

Under the constitution, the president alone holds the authority to issue federal pardons regardless of congressional resolutions. As such, Donald Trump remains empowered to decide on Bankman-Fried’s request, independent of the Senate’s position.

Reuters reported that Bankman-Fried submitted a request for a pardon following the completion of his sentencing process, but he has not sought a commutation. At this stage, the request is with the Justice Department. Meanwhile, Bankman-Fried continues to challenge the conviction related to the collapse of FTX and its trading affiliate Alameda Research.

Earlier this year, Trump told The New York Times he had no intention of granting a pardon to Bankman-Fried. However, his previous acts of clemency for other figures in the digital asset sector during his current term have kept this latest application under close public and industry scrutiny.

Fraud conviction shapes US crypto politics

Bankman-Fried’s downfall and conviction on seven counts connected to FTX and Alameda Research remain a defining moment for cryptocurrency regulation and court precedent. In 2023, a New York jury found him guilty of defrauding customers, lenders, and investors of billions of dollars through the now-collapsed exchange.

Judge Lewis Kaplan subsequently handed down a 25-year prison sentence, citing the extraordinary scale of losses and the damage inflicted on the ecosystem, retail clients, and institutional partners.

Prosecutors estimated that FTX’s collapse wiped out billions in user accounts and precipitated significant losses across the digital asset markets. The Senate’s recent vote does not end Bankman-Fried’s pardon attempt, but it signals lawmakers’ firm opposition as the final decision remains with Trump.