Tech Times Report: SBF Incarceration Verdict, Cryptocurrency Bot Fraud, and Worldcoin’s Prohibition in Portugal

This week in CryptoWatch’s summary, we report that Sam Bankman-Fried, the embattled ex-CEO and founder of FTX, has been sentenced to 25 years imprisonment following a final judgement on his criminal and fraud activities.

We also cover the ongoing legal battle involving Robert Robb, commonly known for overseeing a fraudulent crypto trading bot operation that defrauded investors of $1.5 million.

In addition, Worldcoin takes a blow in Europe as it faces a ban in Portugal, the latest to prohibit the biometrics-focused blockchain enterprise.

Sentencing of Sam Bankman-Fried: 25-Year Prison Term

Judge Lewis Kaplan delivers a 25-year prison sentence to Sam Bankman-Fried for his fraudulent schemes after his conviction, mandating a long incarceration.

Judge Kaplan’s decision highlights the numerous offenses by Bankman-Fried, noting his perjury in court proceedings.

Furthermore, the judge emphasized Bankman-Fried’s lack of remorse and the impact of his actions on investors, clientele, and peers.

However, Kaplan forgave the $11 billion in fees without ordering restitutions, attributing the decision to the case’s complexities and numerous victims.

Read Also: Study Suggests Crypto Mining Via Green Hydrogen for Broader Clean Energy Deployment

Details on Crypto Trading Bot Fraud Discovered by FBI

An FBI operation recently led to the apprehension of a suspect in a crypto trading bot scandal, shedding light on the intricacies of the case.

Robert Robb, the alleged architect of the scheme, siphoned off $1.5 million from investors for personal and extravagant expenses.

Robb had promoted the bot as a profitable venture based on “Maximum Extractable Value” (MEV), assuring stakeholders of substantial returns and heightened wealth via the $RAT token through various online channels, including Telegram.

Portugal’s Crackdown on Worldcoin Operations

Portugal has imposed an obstruction on Worldcoin, the cryptocurrency initiative that trades biometrics for tokens, with its national data protection authority enacting an immediate suspension.

As a consequence, Worldcoin must halt its operations and the collection of Portuguese citizens’ biometric data.

The ban on the project associated with Sam Altman, OpenAI’s co-founder and CEO, is rooted in its contentious data practices, including scanning minors’ eyes as per a TechCrunch report.

Furthermore, concerns were raised regarding Worldcoin’s long-term storage of biometric identifiers and its potential conflicts with EU privacy regulations.

Related Article: UK Restricts Crypto Meme Ads to Prevent Misinformation by ‘Finfluencers’

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