Caroline Ellison Moves From Prison to Community Custody

Crypto News Regulation

FTX Insider Caroline Ellison Moves From Prison to Community Custody

Written by Aaron S.,

Editor-In-Chief

Last Updated: December 18, 2025

Key Takeaways

Caroline Ellison, former CEO of Alameda Research, was transferred from prison to community confinement on October 16, per federal records;
Her new release date is February 20, 2026, earlier than expected, after cooperating with prosecutors in the FTX fraud case;
Ellison admitted her role in FTX’s $11 billion fund misuse and testified against others; details of her current conditions remain private.

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FTX Insider Caroline Ellison Moves From Prison to Community Custody

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Caroline Ellison, who was once the chief executive of Alameda Research, has been transferred from federal prison to community confinement as of October 16.

This update was revealed through official Bureau of Prisons records. Her new expected release falls on February 20, 2026, which is earlier than her initial sentence would have required.

Ellison's sentence followed her guilty plea in December 2022. She was charged with multiple federal offenses, including conspiracy and fraud, linked to the FTX exchange collapse.

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She took part in one of the largest misuse of customer funds in recent years, which reached an estimated $11 billion. After admitting her role, she agreed to cooperate with federal prosecutors.

This cooperation included providing evidence and testifying in court regarding the activities at FTX and Alameda Research.

Her time in prison started after her sentencing by Judge Lewis Kaplan, who recognized her assistance with authorities but still determined that time in custody was necessary due to her role in the FTX case. She was held at the Danbury Federal Correctional Institution beginning in November 2024.

Specific details about her current conditions have not been made public, as the Federal Bureau of Prisons does not release this information for safety and privacy reasons.

Meanwhile, the FTX Recovery Trust, the group managing the exchange bankruptcy, recently withdrew its earlier request to block payments to some users based on their location. What did they say? Read the full story.