Caroline Ellison is set to exit federal custody on January 21, 2026, following significant cooperation in the FTX case, a 10-year ban from the industry, and ongoing supervision after her release.
Summary
- Current Bureau of Prisons records indicate that Ellison’s release date is set for January 21, 2026, which is about four weeks sooner than earlier forecasts and comes after serving less than half of her two-year sentence.
- Ellison’s cooperation played a critical role in the conviction and subsequent 25-year sentence of Sam Bankman-Fried, resulting in her being placed in community confinement and an expedited release timeline.
- She has agreed to a 10-year ban from serving as an officer or director for public companies and crypto exchanges, which keeps her under supervision and out of regulated finance after her release.
Caroline Ellison, the former CEO of Alameda Research, is expected to be released from federal custody on January 21, 2026, as per Federal Bureau of Prisons records updated in late December 2025. This release date is approximately four weeks earlier than previously reported timelines in February.
Ellison of FTX infamy set to walk free next year
In September 2024, Ellison was sentenced to two years in prison for her involvement in the downfall of the cryptocurrency exchange FTX. She has completed less than half of her sentenced time in physical custody, according to federal records.
By October 2025, Ellison had been moved from federal prison to community confinement, which usually involves either halfway house placement or home confinement. She is now under the supervision of a Residential Reentry Management field office located in New York City, as stated in Bureau of Prisons records.
The shortened custody duration is primarily attributed to Ellison’s cooperation with federal prosecutors. She served as the main cooperating witness in the criminal proceedings against Sam Bankman-Fried, who was found guilty of multiple fraud offenses and is currently serving a 25-year federal prison sentence. Prosecutors recognized that her testimony was vital in achieving the conviction.
On December 19, 2025, Ellison agreed to a 10-year ban on acting as an officer or director for any public company or cryptocurrency exchange. This limitation restricts her ability to participate in regulated financial and cryptocurrency-related sectors.
The January 2026 release will mark the end of the custodial part of Ellison’s sentence, although she will still be under post-release supervision and bound by regulatory restrictions. Her case exemplifies how cooperation can lead to sentence reductions, a significant aspect arising from the FTX collapse that continues to shape regulatory discussions in the global cryptocurrency landscape.
