Charity tied to former FTX exec made $150M from insider trading: Report

Polaris Ventures, a charity set up by former FTX and Alameda chief Ruairi Donnelly, reportedly wants access to roughly $150 million in token trading from the bankrupt exchange.

According to a February 14 Wall Street Journal report, Donnelly received approximately $562,000 in salary during his time at FTX, which was converted into FTX Tokens (FTT) at a rate not yet available to the public of $0.05. The former executive reportedly “donated” the Polaris Ventures tokens, selling them in 2019 and 2020 after the opening of public trading at a price of $1 and earning millions.

FTX filed for Chapter 11 bankruptcy in November 2022, with many exchange-related wallets and funds seized by authorities or otherwise frozen for legal action. Donnelly is reportedly looking to cash out $150 million amid public scrutiny of FTX, Alameda and their former CEOs.

Donnelly’s legal team reportedly stated that the charity’s FTT tokens “are not FTX funds” and do not appear to be the subject of claims from other parties. The exchange debtors said on December 19 that they would “take action to recover” funds donated to charities or political campaigns and offered to sue for interest payments if either group refused.

Who returned donations or contributions from FTX despite the firm’s reputational risks?

Amid FTX’s bankruptcy proceedings in the US, some regulators have announced investigations into charities. The England and Wales Charity Commission said in January that it had launched an investigation into Effective Ventures because FTX is a “significant sponsor” of the group.

Credit :

Back to top button

Adblock Detected

Please consider supporting us by disabling your ad blocker