A British Charity Repays Millions to FTX in Response to Fraud Conviction
A British charity called Effective Ventures has agreed to reimburse $26.8 million to the FTX bankruptcy estate, denouncing the fraud underlying Sam Bankman-Fried’s conviction. The non-profit organization, which supports effective altruism, will settle with the defunct crypto exchange by repaying the donations it received from FTX.
Effective Ventures confirmed that the amount it will repay is equivalent to the total donations it received from FTX and the FTX Foundation during 2022. This settlement ensures that EV’s projects can continue fundraising without using donations to cover the cost of the repayment.
“This means that EV’s projects can continue to fundraise with confidence that donations won’t be used to cover the cost of this settlement. We strongly condemn fraud and the actions underlying Sam Bankman-Fried’s conviction.” – Zachary Robinson, interim CEO of EV US
Zachary Robinson, interim CEO of EV US, condemned fraud and Bankman-Fried’s actions that led to his conviction. An investigation found no evidence that anyone at EV knew about Bankman-Fried’s criminal fraud activities.
Sam Bankman-Fried, co-founder of FTX, had previously contributed to financing the Oxford-based Centre for Effective Altruism, now known as Effective Ventures. He held roles such as treasurer and board member at the center’s U.S. branch from 2013 to 2015. Bankman-Fried was recently found guilty of seven counts of fraud and conspiracy related to the downfall of FTX.
Hot Take: British Charity Repays FTX After Fraud Conviction
A British charity called Effective Ventures has agreed to repay $26.8 million to FTX as a response to Sam Bankman-Fried’s fraud conviction. The charity, formerly known as the Centre for Effective Altruism, condemns the actions that led to Bankman-Fried’s conviction and emphasizes its commitment to fundraising without using donations to cover the repayment.
This decision allows Effective Ventures’ projects to continue raising funds with confidence. It is important for organizations to take a stand against fraud and uphold ethical practices, ensuring that donated funds are used for their intended purposes.
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