Gary Wang, co-founder and chief technology officer of FTX, was sentenced to no time in prison on Wednesday, two years after the cryptocurrency firm collapsed and faced accusations of defrauding customers.
Wang testified over several days last year at the trial of FTX founder Sam Bankman-Fried, who was convicted of fraud and conspiracy and sentenced to 25 years in prison. The firm misappropriated over $11 billion of funds that belonged to customers, investors and lenders, The Associated Press reported.
A collapse in the crypto market exposed FTX's scheme that ran from 2017 to 2022. Prosecutors described it as one of the largest financial frauds in U.S. history.
Wang, who pleaded guilty to conspiracy to commit wire fraud, wire fraud, conspiracy to commit commodities fraud and conspiracy to commit securities fraud, apologized Wednesday in court.
“I took the easy path, the cowardly path, instead of doing the right thing,” Wang said, per The Associated Press.
Prosecutors said he played a small role in the fraud and did not create the computer code that enabled it. They said he has continued to help recover money for FTX investors.
Wang is the fifth former FTX executive to be handed a punishment for his role, CNBC reported. Bankman-Fried received the harshest sentence.
Alameda’s ex-CEO Caroline Ellison, who also testified against Bankman-Fried, was sentenced to two years in prison, per CNBC.
Ryan Salame, a former top lieutenant of Bankman-Fried, was sentenced to seven and a half years in prison in May.
