Bahamas-based cryptocurrency exchange FTX’s funding to the Republican party has become the recent development in the company’s ongoing bankruptcy crisis. The political donations have attracted massive debates following the exchange’s bankruptcy.
Meanwhile, the marketplace is dealing the marketplace deals with the firm’s collapse. The donations contributed to FTX’s mainstream media advertisement before its fallout.
FTX Donated $1M to Republican PAC
Bloomberg’s report indicated FTX US, Sam-Bankman-Fried’s crumbled American branch, donated $1m to the SLF (Senate Leadership Fund). That is a PAC (Political Action Committee) fund aligned with Mitch McConnell, Senate Republican Leader.
Meanwhile, the PAC fought for control over the United States Senate during the latest mid-term elections. Nevertheless, it’s fascinating to understand that they donated on October 27. That was two weeks before FTX filed for Chpt 11 bankruptcy.
The report indicated that FTX US donated $150K to the Patriots PAC and $750K to the CLF (Congressional Leadership Fund). Both supported Republican aspirants.
Diversified Political Capital
This development remained peculiar as Sam Bankman-Fried or FTX mainly contributed to Democratic candidates. Opensecrets.org, a non-profit platform that trails political donations, revealed that Sam Bankman-Fried donated approximately $37M to democratic aspirants during this year’s election cycle.
Meanwhile, $70 million of the FTX’s donation went to political proceeds, whereas $41.6M went to Democratic determinations, including the POF (Protect Our Future) PAC. Contrarily, Republican outfits collected approximately $20 million in contributions.
Nevertheless, data from the United States Federal Election Commission site indicated that Ryan Salame, FTX co-CEO, focused on Republicans. Salame has donated over $23M to Republican candidates since last year. The mentioned Senate Leadership Fund received $2.5 million of the same.
Turkey Clutches FTX Assets
Turkey’s Finance Crimes Investigation Board confirmed that it seized SBF’s assets. The press release from the financial regulator revealed that they resorted to the action due to several allegations, including FTX’s failure to ensure the security of customer funds & embezzlement of client funds.
Meanwhile, the crypto market continues to struggle following the FTX debacle. While publishing this content, Bitcoin traded near $16.5K, remaining nearly steady over the past day. The market remains bearish, threatening more slumps.