Former FTX CTO Gary Wang Won’t Have To Serve Prison Time, Judge Rules

As a researcher who has followed the FTX case closely, I find myself both intrigued and somewhat puzzled by the sentencing of Gary Wang. On one hand, his extensive cooperation with U.S. prosecutors seems to have earned him leniency, which is often the way justice systems operate. However, as a scholar who has studied criminal law, I can’t help but wonder if the scales are tipping too far in favor of cooperation and against accountability.

According to reports from The New York Times, Gary Wang, a former top tech executive at FTX and close associate of Sam Bankman-Fried, has been spared prison time for his part in the crypto exchange’s fraudulent activities.

In December 2022, Wang admitted his guilt for four offenses, which encompassed wire fraud, conspiring to carry out wire fraud, conspiring to commit securities fraud, and conspiring to commit commodities fraud.

Through his close collaboration with U.S. prosecutors in securing the imprisonment of Sam Bankman-Fried, Wang has managed to escape a prison sentence, as per Judge Lewis A. Kaplan, who has been overseeing the entire FTX case.

Following the downfall of FTX, Wang swiftly engaged with prosecutors, positioning him as one out of two crucial cooperating witnesses in the trial of Sam Bankman-Fried, alongside Caroline Ellison, the ex-CEO of Alameda Research who was also Bankman-Fried’s former partner. For his cooperation, Kaplan commended Wang during sentencing, stating that he deserved immense praise.

After Ellison’s imprisonment for two years in September, Wang became the final FTX executive to face sentencing. In contrast, Nishad Singh, a former engineering director at FTX, avoided prison time in October. However, Ryan Salame, who was found guilty of campaign finance fraud, received the most severe sentence – seven and a half years in prison.

In a short speech prior to his sentencing, Wang expressed remorse for his part in the fraud at FTX, stating, “I deeply regret my actions.” He further added, “There were numerous opportunities where I could have made different choices.