The sentencing memo also cited Wang’s personal circumstances as part of his reasons for requesting no jail time. His legal team revealed that Wang is currently employed as a software engineer at an undisclosed firm and is expecting his first child with his wife later this month.
Gary Wang, the co-founder and former Chief Technology Officer of the defunct cryptocurrency exchange FTX, is appealing for leniency as his sentencing approaches. In a detailed memo filed on November 6 in Manhattan district court, Wang’s legal team argued that his significant cooperation with authorities was critical in securing the conviction of Sam Bankman-Fried (SBF), the face of FTX’s notorious collapse.
Wang, who pleaded guilty to charges of fraud and conspiracy in December 2022, said his testimony was pivotal to the government’s case against Bankman-Fried. According to the filing, his disclosures helped put the disgraced FTX founder behind bars.
Wang Appeals for No Jail Time to Avoid Disparity
Recall that SBF was sentenced to 25 years in prison in March 2024 for fraud in one of the most watched financial trials in recent years. His conviction centered on allegations that he had orchestrated a scheme to misappropriate billions in customer funds to cover risky bets made by Alameda Research, FTX’s affiliated trading arm.
In the memo, Wang argued that his cooperation with the United States Department of Justice (DOJ) provided essential evidence, revealing how Bankman-Fried directed code changes that allowed Alameda Research to siphon customer funds, an estimated $10 billion over several years, before the platform’s collapse in November 2022.
As a result, he is asking the government to spare him and consider his cooperation as time served. He also emphasized that his role in the fraud was more limited than that of other high-ranking FTX figures, such as Caroline Ellison, former CEO of Alameda, and Nishad Singh, FTX’s former engineering director.
Both Ellison and Singh reached plea deals with the government. Still, they received differing sentences: Ellison was sentenced to two years in prison for her role in the FTX-Alameda fiasco, while Singh was only served time.
Wang’s defense argued that a jail sentence for him would create an unfair disparity, particularly considering Singh’s lighter penalty despite a comparable level of involvement.
The lawyers further highlighted that his proactive and early cooperation with prosecutors, aiding FTX’s bankruptcy estate, and contributing to class-action lawsuits show he is committed to justice and to assisting victims.
Wang Could Miss Raising First Child if Sentenced
The sentencing memo also cited Wang’s personal circumstances as part of his reasons for requesting no jail time. His legal team revealed that Wang is currently employed as a software engineer at an undisclosed firm and is expecting his first child with his wife later this month.
His defense noted that a custodial sentence would disrupt his ability to support his family financially and continue contributing to anti-fraud initiatives. According to the filing, Wang has been involved in developing software tools for government use designed to identify fraudulent activity in crypto markets.
“Gary wants nothing more than to be a good husband and father and continue his work with the Government and other stakeholders to facilitate FTX victims’ recovery and mitigate the risk of future frauds,” reads the memo.
Judge Lewis Kaplan, who presided over Bankman-Fried’s trial, is set to decide Wang’s fate on November 20. The outcome of Wang’s sentencing could set a significant precedent in how individuals who cooperate extensively with authorities are treated in high-profile financial crime cases.
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