There may very well be a stunning twist within the drama surrounding Sam Bankman-Fried’s bancrupt crypto trade FTX. As reported by The Straits Occasions, a potential authorities takeover by Singaporean state investor Temasek may very well be on the desk. The group is one among FTX’s many traders.
FTX’s different traders embrace BlackRock, Sequoia Capital, Circle, Ontario Lecturers’ Pension Plan, Paradigm, Tiger International, SoftBank, , Ribbit Capital, Alan Howard, Multicoin Capital and VanEck.
In the meantime, third largest investor in @FTX_Official for @Temasek. HFSP! pic.twitter.com/sVjyOJZ99v
— Phryics.eth (@Phryics) November 9, 2022
Is Temasek Going To Bail Out FTX?
Based on the report, Temasek, in its position as a shareholder of FTX contacted SBF after Binance introduced its bailout plans. The report goes on to say {that a} takeover by CZ would imply such an influence shift that “would make Binance reign supreme within the crypto world”.
For that reason, Temasek is in talks with FTX, in keeping with a spokesperson:
We’re conscious of the developments between FTX and Binance, and are partaking FTX in our capability as a shareholder
On the similar time, Temasek’s spokesperson clarified that no particulars concerning the talks will be disclosed for the time being. “[G]iven the continued discussions between each firms, it wouldn’t be acceptable for us to remark past that”, The Straits Occasions studies.
Temasek invested in FTX’s Sequence B and Sequence C funding rounds, which raised $900 million and $400 million, respectively. Nonetheless, FTX shouldn’t be the one crypto trade that Temasek has invested previously. Temasek, via Vertex Ventures, additionally invested in Binance when the Singapore trade launched operations.
Temasek is a Singapore authorities holding firm with roughly $484.4 billion in internet belongings beneath administration in 2021. The corporate is an investor that claims it’s guided by 4 key structural developments in constructing its long-term portfolio. These are: digitization, sustainable residing, the way forward for consumption and longer life expectancy.
The nameless dealer “degentrading” reacted to the information on Twitter. He commented that in his opinion a bailout of Temasek is unlikely, as their present publicity to Temasek is “solely” $1 billion.
I doubt temasek would bail out FTX given their present dedication has solely been 1bn? Particularly if the outlet is 6b. Nonetheless if temasek does bail out FTX, I’ll ship my sons to Singapore for military. Plz
— degentrading (@hodlKRYPTONITE) November 9, 2022
Apart from the truth that Temasek is an FTX investor, the character of the discussions between Temasek and the crypto trade are unclear at press time.
As Bitcoinist reported earlier as we speak, there are massive query marks behind the deal between Binance and FTX. The outlet in FTX’s steadiness sheet may very well be a lot greater than anticipated. Adam Cochran tweeted that a few of his sources are inclined to consider that Binance may pull out of the deal on the final second.
