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HomeCryptocurrencySingapore’s Temasek Writes Off $275 Million FTX Funding

Singapore’s Temasek Writes Off $275 Million FTX Funding

Singapore’s state-owned investor, Temasek Holdings introduced on Thursday that it could be writing off its complete $275 million funding into the collapsed cryptocurrency alternate, FTX.

It invested $210 million for round a 1 % stake in FTX Worldwide and $65 million for about 1.5 % in FTX US. Each corporations have now filed for Chapter 11 chapter safety in the USA.

“In view of FTX’s monetary place, we have now determined to jot down down our full funding in FTX, regardless of the result of FTX’s chapter safety submitting,” the investor said in a press launch.

Temasek manages a portfolio of S$403 billion ($294.3 billion) and is owned by the Authorities of Singapore. Its early-stage investments make up about 6 % of its web portfolio worth, and the price of the FTX funding was solely 0.09 % of the full determine.

The investor additional highlighted that it has no direct publicity to cryptocurrencies.

“There are inherent dangers at any time when we make investments, divest, or maintain our belongings, and wherever we function. Whereas this write-down of our funding in FTX is not going to have a major affect on our total efficiency, we deal with any funding losses critically, and there can be learnings for us from this,” Temasek added.

The Singapore investor adopted Gentle Financial institution Group’s Imaginative and prescient Fund and Sequoia Capital in writing off their FTX funding to zero. The Imaginative and prescient Fund has a $100 million funding into FTX, whereas Sequoia, together with a sister fund, held a $210 million stake within the crypto alternate.

Established in 2019, FTX was an aggressively rising cryptocurrency alternate that was valued at $34 billion in its final funding spherical. Nonetheless, the multi-billion greenback empire of Sam Bankman-Fried collapsed inside days, revealing some horrific enterprise practices of his and his high administration.

The alternate has been blamed for utilizing a portion of shopper funds for taking positions within the cryptocurrency market and is now reportedly going through regulatory scrutiny. Moreover, the regulators in Cyprus and Australia suspended the regulatory license of the native FTX entities.

Lawsuit Naming Celebrities

An Oklahoma-based FTX investor, on behalf of different traders, filed a lawsuit in opposition to the collapsed cryptocurrency alternate for ‘misrepresentations and omissions’, even naming high-profile celebrities and traders who endorsed the alternate. Other than Sam Bankman-Fried, different names within the lawsuit are American soccer star Tom Brady and his supermodel former spouse Gisele Bundchen, retired basketball participant Shaquille O’Neal, tennis Grand Slam champion Naomi Osaka, actor and comic Larry David and billionaire investor Kevin O’Leary.

Singapore’s state-owned investor, Temasek Holdings introduced on Thursday that it could be writing off its complete $275 million funding into the collapsed cryptocurrency alternate, FTX.

It invested $210 million for round a 1 % stake in FTX Worldwide and $65 million for about 1.5 % in FTX US. Each corporations have now filed for Chapter 11 chapter safety in the USA.

“In view of FTX’s monetary place, we have now determined to jot down down our full funding in FTX, regardless of the result of FTX’s chapter safety submitting,” the investor said in a press launch.

Temasek manages a portfolio of S$403 billion ($294.3 billion) and is owned by the Authorities of Singapore. Its early-stage investments make up about 6 % of its web portfolio worth, and the price of the FTX funding was solely 0.09 % of the full determine.

The investor additional highlighted that it has no direct publicity to cryptocurrencies.

“There are inherent dangers at any time when we make investments, divest, or maintain our belongings, and wherever we function. Whereas this write-down of our funding in FTX is not going to have a major affect on our total efficiency, we deal with any funding losses critically, and there can be learnings for us from this,” Temasek added.

The Singapore investor adopted Gentle Financial institution Group’s Imaginative and prescient Fund and Sequoia Capital in writing off their FTX funding to zero. The Imaginative and prescient Fund has a $100 million funding into FTX, whereas Sequoia, together with a sister fund, held a $210 million stake within the crypto alternate.

Established in 2019, FTX was an aggressively rising cryptocurrency alternate that was valued at $34 billion in its final funding spherical. Nonetheless, the multi-billion greenback empire of Sam Bankman-Fried collapsed inside days, revealing some horrific enterprise practices of his and his high administration.

The alternate has been blamed for utilizing a portion of shopper funds for taking positions within the cryptocurrency market and is now reportedly going through regulatory scrutiny. Moreover, the regulators in Cyprus and Australia suspended the regulatory license of the native FTX entities.

Lawsuit Naming Celebrities

An Oklahoma-based FTX investor, on behalf of different traders, filed a lawsuit in opposition to the collapsed cryptocurrency alternate for ‘misrepresentations and omissions’, even naming high-profile celebrities and traders who endorsed the alternate. Other than Sam Bankman-Fried, different names within the lawsuit are American soccer star Tom Brady and his supermodel former spouse Gisele Bundchen, retired basketball participant Shaquille O’Neal, tennis Grand Slam champion Naomi Osaka, actor and comic Larry David and billionaire investor Kevin O’Leary.

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