NEW YORK — Cryptocurrency markets showed mixed reactions Monday after jailed FTX co-founder Sam Bankman-Fried formally applied for a presidential pardon from Donald Trump, according to U.S. Department of Justice records.
Bankman-Fried, serving a 25-year federal prison sentence following his 2023 conviction on fraud and money laundering charges related to the collapse of the FTX exchange, submitted the application for a "pardon after completion of sentence," the Justice Department's Pardon Attorney Office website showed.
The filing, first reported on June 8, revived attention on the case more than two years into his term. President Trump has previously stated he does not plan to grant clemency, a position reiterated by the White House earlier in 2026.
FTT, the native token of the now-defunct FTX platform, surged more than 50% intraday following news of the application before paring some gains, according to market data. Broader cryptocurrency prices, including Bitcoin and Ethereum, registered modest movements with limited immediate volatility tied to the development.
Bankman-Fried's conviction stemmed from the 2022 bankruptcy of FTX, which prosecutors said involved the misappropriation of billions in customer funds. He has maintained aspects of his defense while pursuing appeals and now executive clemency.
Industry representatives offered varied responses. Some crypto advocates distanced themselves from the effort, citing reputational concerns for the sector, while others noted the symbolic nature of the filing amid ongoing regulatory discussions. A White House spokesperson previously confirmed Trump's stance against a pardon.
"Bankman-Fried has been waging a public campaign, including social media posts and interviews, in hopes of securing relief," one report indicated, though officials have described the prospects as low.
The application follows a pattern of clemency requests processed through standard DOJ channels, which typically involve review and recommendation to the president. Details on supporting documentation or additional context for the filing were not immediately available.
As of Tuesday, the DOJ listing showed the request as pending. No comment was available from Bankman-Fried's representatives on the latest market movements or next steps. Crypto trading volumes remained active, with participants monitoring developments in the broader regulatory environment.
Market analysts described the token-specific spike in FTT as speculative, driven by retail traders rather than fundamental shifts in the industry outlook. Major digital assets continued trading within recent ranges.
