Cointime

Download App
iOS & Android

FTX Stole From Ukraine Gave to Democrats

FTX launched crypto donation platform Aid for Ukraine in March, setting itself up as the central clearing house for all cryptocurrency donations to Kiev’s war effort. While the exchange was supposed to route those donations to the National Bank of Ukraine, the report suggests it funneled at least some of the money back to the US through political donations.

Sam Bankman-Fried was the second-largest donor to the Democratic Party for the midterms, pouring some $38 million into candidates’ coffers in 2022 alone.

The Ukrainian government had already received only $60 million in crypto donations as of March. FTX did not publish the amounts subsequently taken in, but other fundraising campaigns on Kiev’s behalf have been hugely successful – Star Wars actor Mark Hammill raised enough funds to buy 500 drones in a single month, for example.

Samuel Bankman-Fried, the founder of failed cryptocurrency exchange FTX, allegedly laundered billions of dollars through Ukraine by setting up his company as the central clearinghouse for all crypto donations to Kiev’s war effort, according to the Gateway Pundit. Democratic politicians sending aid to Ukraine would see their money come back in the form of donations through FTX, the outlet claimed.

Whatever funds the exchange had under management have presumably evaporated with the rest of its assets due to an alleged hack last week, and the exchange filed for bankruptcy on Friday. The resulting chaos has sent crypto markets spiraling.

In addition to bankrolling political campaigns, Bankman-Fried spent millions lobbying to shape cryptocurrency regulations. Democrats responsible for overseeing the Commodity Futures Trading Commission were particular targets for his largesse, and he is now under investigation by that same agency for moving $10 billion in client assets off FTX to his hedge fund Alameda Research.

While Bankman-Fried’s private jet has been tracked to Argentina, the disgraced billionaire insisted on Saturday that he was still in the Bahamas.

FTX
Comments

All Comments

Recommended for you

  • Bitcoin second-layer network ZKM completes $5 million Pre-A financing, led by OKX Ventures

    According to The Block, Bitcoin layer-two network ZKM announced the completion of a $5 million Pre-A financing, led by OKX Ventures, with participation from Amber, Metis Foundation, Crypto.com, and other companies. It is reported that ZKM is a zero-knowledge proof-based network aimed at unifying blockchains and creating a settlement layer on Ethereum.

  • Botanix Labs announces $11.5 million in funding, with participation from Polychain Capital and others

    Botanix Labs announced that it has raised $11.5 million in funding, with participation from Polychain Capital, Placeholder Capital, Valor Equity Partners, and ABCDE, among others. Other investors include Andrew Kang, Fiskantes, Dan Held, The Crypto Dog, Charlie Spears, Altcoin Sherpa, Dovey Wan, Jebus, Icebergy, Crypto ISO, Davis, Walt Smith, and Domo, the creator of the BRC-20 token standard.

  • Galaxis Completes $10 Million Financing, with Chainlink, Rarestone Capital and Others Participating

    Singaporean Web3 platform Galaxis announced that it had completed a $10 million financing round before the issuance of its tokens. Participants in this round of financing include Chainlink, ENS, Rarestone Capital, Taisu Ventures, and ENS co-founder Nick Johnson. Galaxis claims to be a "post-hype era NFT practical platform" and has previously launched NFT series for celebrities such as DJ SteveAoki and actor ValKilmer. The platform has sold more than 225,000 NFTs, generating sales of over 32,000 ETH (approximately $100 million) in the secondary market, and is currently preparing for large-scale distribution.

  • Australian Tax Office to Collect Personal and Transaction Data of 1.2 Million Cryptocurrency Traders

    The Australian Taxation Office (ATO) is set to obtain personal and transaction details of up to 1.2 million cryptocurrency traders from exchanges. The move is part of the ATO's efforts to prevent tax evasion. The data collected will include names, addresses, birthdays and transaction details of traders to help the ATO audit compliance with obligations to pay capital gains tax on sales. The ATO aims to identify traders who have not reported their cryptocurrency-related activities, including the exchange of crypto assets when they sold it for currency or used it to pay for goods and services. The crackdown on the crypto industry in Australia has intensified since the collapse of FTX.

  • Binance Research: Total cryptocurrency market value fell 11.3% in April, and total supply of US dollar stablecoins reached a two-year high

    Binance Research released its April cryptocurrency market report, with the following key points:

  • Vitalik: Plasma can prevent double withdrawal of any asset in a self-consistent way

    Vitalik Buterin, co-founder of Ethereum, stated on X platform that the purpose of Plasma is not to prevent invalid/unavailable state transitions, but rather to allow users with valuable assets to exit using the previous (valid and available) state when such a situation occurs, in a way that prevents double exits of any assets with consistent rules.

  • Hong Kong Bitcoin spot ETF saw its first net redemption, with a net redemption of 75.36 Bitcoins yesterday

    According to SoSo Value data, the Hong Kong Bitcoin spot ETF saw its first net redemption since trading began on April 30th. On May 6th, there was a net redemption of 75.36 Bitcoins, with a total holding of 4150 Bitcoins, a daily turnover of 8.6 million US dollars, and a total net asset value of 266 million US dollars.

  • The total net asset value of the US Bitcoin spot ETF is US$52.234 billion

    According to SoSoValue data, The total net inflow of US Bitcoin spot ETFs was $217 million on May 6 (US Eastern Time) yesterday. The net inflow of Grayscale ETF GBTC was $3.937 million yesterday, and GBTC's historical net outflow is currently $17.458 billion. The Bitcoin spot ETF with the highest net inflow yesterday was Fidelity ETF FBTC, with a net inflow of $99.1936 million in a single day, and FBTC's total historical net inflow has reached $8.13 billion. The second is Ark Invest and 21Shares' ETF ARKB, with a net inflow of $75.6412 million in a single day, and ARKB's total historical net inflow has reached $2.237 billion.

  • Crypto Super PAC Raises Over $100 Million for 2024 US Election

    According to PUBLIC CITIZEN, a cryptocurrency industry-backed super PAC has raised over $102 million, ranking third among all super PACs participating in the 2024 election. More than half of the political funds for the cryptocurrency super PAC (about $54 million) come from direct corporate spending, mainly from Coinbase and Ripple Labs.It is reported that four of the eight corporate cryptocurrency super PAC donors have settled or face charges from the US Securities and Exchange Commission (SEC) for alleged violations of securities laws, with Ripple Labs alone facing a fine of nearly $2 billion.

  • The US government seized 3,940 BTC from drug dealers

    Blockchain data tracking company Arkham has stated that the US government has seized $250 million worth of BTC, currently being held by Arkham. The US government obtained 3,940 BTC from drug dealer Banmeet Singh and seized them during a trial in January 2024. According to court documents, Singh was responsible for selling controlled substances on the dark web market from 2012 to 2017 and distributing them throughout the United States. The statement from the Department of Justice (DOJ) and court documents match the on-chain flow of funds already added to our US government entity.