Ex-CEO Sam Bankman-Fried was the second largest donor to the Democratic party. FTX-related political donations add up to around $93 million|Cointelegraph|CC BY 3.0
Defunct crypto firm FTX is asking more than 190 politicians, including Nancy Pelosi, Kevin McCarthy and Chuck Schumer, to return the money they received as political donations.
Politicians and parties are sent “confidential messages” asking to return their FTX money by February end. Failure to do so will risk legal proceedings.
Why?
FTX filed for bankruptcy in November, and the new CEO John Ray III has since tried to claw back its money from several endeavors to pay back creditors.
And asking political organizations and congressmen to return the FTX donations is the latest move.
FTX owes nearly #3.1 billion to its creditors.
Does it help?
FTX-related political donations add up to around $93 million.
Ex-CEO Sam Bankman-Fried (SBF) was the second largest donor to the Democratic party showering them with around $37 million. And FTX Digital Markets Co-CEO Ryan Salame was the 10th largest owner to the Republican party, giving them $19 million.
Many politicians donated their FTX money to charities fearing a public backlash, but FTX says it will ask the charities to return it.