FTX Seeks Information on Payments to AI Safety Organization
Crypto exchange FTX, which recently declared bankruptcy, is seeking information on millions of dollars in payments it made to the nonprofit artificial intelligence (AI) safety organization, the Center for AI Safety (CAIS). According to court filings, FTX gave $6.5 million to CAIS between May and September 2022 before collapsing.
FTX Requests Subpoenas to Probe CAIS
In an attempt to recover funds for creditors and customers affected by its collapse, FTX has requested subpoenas to be issued to CAIS. The subpoenas would inquire about any payments, funds, communications, agreements, or contracts between CAIS and FTX, its affiliates, and former executives. CAIS allegedly rejected previous requests for an accounting related to the transfers.
FTX’s Recovery Efforts
FTX aims to recover funds to repay its creditors and customers. In a June report, the exchange stated that it had already recovered approximately $7 billion but needed an additional $1.7 billion to cover customer funds that were allegedly misappropriated.
CAIS Known for Open Statement on AI Risk
The Center for AI Safety gained recognition for a statement it published in May highlighting the importance of mitigating risks from AI. The statement, signed by prominent figures such as OpenAI CEO Sam Altman and AI expert Geoffrey Hinton, emphasized prioritizing the prevention of AI-related extinction risks alongside nuclear war.
Details Requested in Subpoenas
The proposed subpoenas from FTX request various documents and communications related to transfers received by CAIS from FTX and its associated entities. Specific individuals mentioned in the subpoenas include FTX co-founders Sam Bankman-Fried and Gary Wang, Joseph Bankman and Gabriel Bankman-Fried (father and brother of Sam Bankman-Fried), former Alameda Research CEO Caroline Ellison, and former FTX lawyers Can Sun and Daniel Friedberg.
Hot Take: FTX’s Attempt to Uncover Payments to CAIS
Bankrupt crypto exchange FTX is seeking information on the payments it made to the Center for AI Safety (CAIS) before its collapse. By issuing subpoenas, FTX aims to recover funds for its creditors and customers. This move comes as part of FTX’s efforts to repay its debts and address allegations of misappropriated customer funds. The Center for AI Safety gained attention for its statement on mitigating AI risks, signed by influential figures in the industry. FTX’s subpoenas request specific details on transfers, documents, and communications involving CAIS and key individuals associated with FTX.
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