Who returned donations from FTX
2022.12.21 00:46
Who returned donations from FTX
Budrigannews.com – Prior to its demise, the crypto exchange FTX and its then-CEO, Sam Bankman-Fried, were among the most prolific spenders in the industry, rescuing crypto firms and contributing to media and political campaigns. What is happening with the funds that are being sought by more than one million FTX creditors?
In May, Bankman-Fried stated that he was willing to give lawmakers anywhere from $100 million to $1 billion in support of the 2024 elections. Hours before SBF’s arrest in the Bahamas on December 12, Bloomberg reported that his total donations to candidates or political action committees (PACs) could be at least $73 million.
Even though the Federal Election Commission made many of Bankman-Fried’s and FTX’s donations to Democrats public records, the former CEO said in a December interview that Republicans had received roughly the same amount in “dark” donations. According to reports, Republican Senator John Hoeven of North Dakota gave the $11,600 he received from SBF and former co-CEO of FTX Digital Markets Ryan Salame to the Salvation Army.
According to reports, the Democratic National Committee, the Democratic Senatorial Campaign Committee, and the Democratic Congressional Campaign Committee all stated that they would each return contributions from SBF totaling more than $1 million that they had collectively received since 2020. CNBC reported on December 20 that the Democratic candidates-supporting Senate Majority PAC planned to return approximately $1 million from Bankman-Fried and $2 million from Nishad Singh, a former FTX engineer.
U.S. President Joe Biden, whose 2020 official mission acknowledged $5.2 million in gifts from Bankman-Broiled, has not remarked on how he plans to manage the assets. Beto O’Rourke, a Democrat running for governor of Texas but losing to incumbent Greg Abbott, reportedly returned a $1 million donation from SBF prior to the 2022 election. It is also said that Illinois Senator Dick Durbin and New York Representative Hakeem Jeffries have given money they received to unidentified charities.
Based solely on FTX’s political contributions, these estimates suggest an additional $5 million will be available to creditors following bankruptcy proceedings.
FTX and SBF were directly responsible for loans and grants to news organizations in and out of the crypto space, in addition to lobbying politicians. After accepting and failing to disclose two loans totaling $27 million from Alameda Research, including a reported $16 million loan used to purchase property in the Bahamas, the CEO of crypto news site The Block resigned on December 9.
It is unclear whether The Block or its former CEO is willing to restructure to compensate some FTX investors. On the other hand, on December 20, Axios reported that the nonprofit news organization ProPublica planned to return the $1.6 million it had received as part of a grant from Bankman-Fried’s family foundation. The funds would be transferred to a separate account until authorities determined the best course of action.
Total estimated returns? $6.6 million.
FTX Users: “Where’s my money?”
Sam: pic.twitter.com/TbfZYlnjIM
— (@DMNDMINE) November 16, 2022
On Dec. 19, FTX declared a “deliberate return” plan for beneficiaries of commitments from the crypto trade or its chiefs, indicating lawful activity in the event that the assets were not returned. It is unclear whether third parties will be able to send funds directly to FTX debtors handling the bankruptcy and reimbursing creditors or whether all funds will need to be returned to them.
More South Korea has blocked assets related to Terra
Bankman-Broiled’s lawful group allegedly said on Dec. 19 that the previous President wouldn’t battle removal procedures to the US, where he would have to deal with penalties connected with infringement of mission finance regulations, wire extortion and protections misrepresentation. If found guilty, he could face a 115-year prison term.
