As FTX collapses, Temasek becomes latest backer to write down $275 million funding

<div>
<p><span class="caps">SINGAPORE</span> – Singapore state investor Temasek Holdings stated it might write down the worth of its complete funding of $275 million in collapsed crypto foreign money alternate <span class="caps">FTX</span>, within the newest transfer by <span class="caps">FTX</span>’s traders.</p>
<p>“In view of <span class="caps">FTX</span>’s monetary place, we have now determined to put in writing down our full funding in <span class="caps">FTX</span>, regardless of the end result of <span class="caps">FTX</span>’s chapter safety submitting,” Temasek stated in an in depth assertion on Thursday.</p>
<p><span class="caps">FTX</span>’s different backers comparable to SoftBank Group Corp’s Imaginative and prescient Fund and Sequoia Capital have additionally marked down their funding to zero after <span class="caps">FTX</span>, based by Sam Bankman-Fried, filed for chapter safety in america final week within the highest-profile crypto blowup to this point.</p>
<p>Temasek stated it had invested $210 million for a minority stake of about 1% in <span class="caps">FTX</span> Worldwide, and $65 million for a minority stake of about 1.5% in <span class="caps">FTX</span> US, throughout two funding rounds from October 2021 to January 2022.</p>
<p>“The price of our funding in <span class="caps">FTX</span> was 0.09% of our internet portfolio worth of S$403 billion ($294.3 billion) as of 31 March 2022,” it stated.</p>
<p>Temasek stated its early stage investments made up about 6% of its complete portfolio.</p>
<p>It stated the thesis for its funding of <span class="caps">FTX</span> was to put money into a number one digital asset alternate that would offer it with “protocol agnostic and market impartial publicity” to crypto markets with a payment revenue mannequin and no buying and selling or steadiness sheet danger.</p>
<p>Temasek stated it at present had no direct publicity in cryptocurrencies.</p>
<p>It stated it had carried out an in depth due diligence course of on <span class="caps">FTX</span> from February to October 2021, throughout which it had reviewed <span class="caps">FTX</span>’s audited monetary assertion, which confirmed it to be worthwhile.</p>
<p>“It's obvious from this funding that maybe our perception within the actions, judgment and management of Sam Bankman-Fried, fashioned from our interactions with him and views expressed in our discussions with others, would seem to have been misplaced,” it stated.</p>
<p>($1 = 1.3693 Singapore dollars)</p>
<p/>
</div>