Three circuit judges rejected his claims that FTX had sufficient liquidity. Fried had argued that the crypto exchange could cover any liabilities. The court also called false his claims that he wanted to return customer funds. In fact, he broke the law when he transferred crypto assets to the Alameda fund, which he controlled. After the appeals court’s refusal, Fried has fewer options left for early release from prison. These include a presidential pardon and an appeal to the Supreme Court. However, Trump said he does not plan to pardon him. In addition, in July the Senate passed a bipartisan resolution against granting Fried a pardon.