On February 20, 2026, former FTX CEO Sam Bankman-Fried published a lengthy X thread from prison titled “10 Myths About Me & FTX”.
Key Takeaways
- Sam Bankman-Fried posted a “10 Myths” thread from prison disputing FTX insolvency and fraud claims.
- He argues customers are being repaid 119%–143% of November 2022 valuations.
- SBF directly denied “polycule” and orgy rumors tied to his personal life.
- Critics maintain his conviction and misuse of customer funds remain legally established facts.
Posting via proxy while serving a 25-year sentence at Brooklyn’s Metropolitan Detention Center, the convicted crypto executive directly challenged the dominant narrative surrounding FTX’s 2022 collapse, his 2023 fraud conviction, and even rumors about his personal life.
The thread marks what appears to be a calculated effort to reshape public perception. From claims that FTX was solvent to explicit denials of “Epstein-style” sexual impropriety rumors, Bankman-Fried’s post functions as both legal defense and reputation management, potentially aimed at influencing appeals, public opinion, or even long-shot pardon discussions in a shifting political climate.
The Collapse of FTX: A Brief Recap
FTX filed for bankruptcy on November 11, 2022, after a rapid liquidity crisis exposed an $8 billion shortfall tied to the alleged misuse of customer funds through Alameda Research. In November 2023, Bankman-Fried was convicted on seven counts of fraud and conspiracy. He was sentenced in March 2024 to 25 years in federal prison.
Key insiders, including Caroline Ellison, Gary Wang, and Nishad Singh, testified against him in exchange for reduced sentences. Prosecutors described the situation as a “massive, unrepayable hole” in customer funds. The defense argued that FTX was solvent and that the bankruptcy process distorted asset values.
During the scandal, media reports amplified stories about SBF’s unconventional lifestyle in the Bahamas, including polyamory rumors and comparisons to disgraced financier Jeffrey Epstein. While no criminal charges related to such allegations were brought against Bankman-Fried, the reputational damage was significant.
SBF’s “10 Myths” Thread: Key Claims
1. “FTX Was Never Insolvent”
Bankman-Fried asserts that FTX customers are now receiving between 119% and 143% of their November 2022 claim values. He argues this demonstrates that FTX was fundamentally solvent and that pre-collapse funding offers existed.
However, bankruptcy proceedings calculate repayments based on asset prices at the time of filing, when Bitcoin traded near $17,000. With Bitcoin now near six-figure levels, customers who held crypto positions face opportunity losses relative to today’s market prices.
SBF contends that the bankruptcy estate’s dismantling, under CEO John Ray III destroyed value and prioritized legal fees over business continuity.
2. Personal Conduct and “Epstein-Style” Rumors
One of the most pointed sections of the thread addresses allegations of sexual impropriety. SBF wrote: “Truth: There were no polycules or orgies. I never partied or took vacation.” He described the Bahamas penthouse as modestly rented and emphasized that his personal spending and political donations came from earnings rather than customer funds.
Comparisons to Jeffrey Epstein had circulated during the scandal, partly fueled by broader 2025–2026 disclosures regarding Epstein’s financial networks and past crypto-linked investments. In his thread, SBF sought to decisively distance himself from such associations.
3. Trial Fairness
Bankman-Fried claimed that evidence supporting FTX’s solvency was excluded from trial and that pre-trial detention hindered his ability to mount a defense. He also pointed to the relatively light sentences given to cooperating witnesses as evidence of prosecutorial leverage.
His conviction, however, remains intact, and appellate proceedings are ongoing.
Repayments and the Solvency Debate
FTX’s bankruptcy estate has recovered billions in assets, including stakes in companies like Anthropic and various real estate holdings. By late 2025, approximately 98% of smaller claims had received distributions under court-approved plans.
Yet critics argue that these repayments do not equate to vindication. They emphasize that customer funds were allegedly commingled and misused, core findings of the trial. Repayment percentages based on depressed 2022 prices, they say, do not negate the initial mismanagement.
Political Undertones and Public Strategy
Some observers speculate that the thread may serve broader strategic goals. With appeals underway and periodic public discussion around executive clemency powers, SBF’s public messaging could be interpreted as positioning himself for leniency.
While former President Donald Trump reportedly ruled out pardoning Bankman-Fried due to his Democratic donor history, the political environment remains fluid. Public narratives can influence legal and reputational outcomes over time.
A Calculated Narrative Reset?
From behind bars, Sam Bankman-Fried appears determined to contest the historical record of FTX’s collapse. His thread aggressively disputes financial conclusions, rejects personal scandals, and frames repayments as proof of underlying solvency.
Whether this represents genuine belief, strategic communication, or a long-term rehabilitation effort is open to interpretation. What remains clear is that his conviction stands and the crypto industry continues grappling with the legacy of FTX.
As bankruptcy proceedings wind down and the market evolves, SBF’s voice, though confined, continues to shape the debate around accountability, redemption, and the boundaries between financial mismanagement and criminal fraud.
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Source: https://coindoo.com/sam-bankman-fried-says-ftx-was-never-insolvent-in-new-prison-x-thread/