Sam Bankman-Fried, the CEO of FTX, has announced that he possesses a “few billion” to spare to assist deteriorating companies that would present a new threat to the digital asset market.
The Californian billionaire has kept digital asset platforms alive by investing in them in their lows. In a recent interview, Bankman-Fried also revealed that he had been recently contacted by a few crypto companies to strike an acquisition deal.
Due to the losses they have sustained from the cryptocurrency hedge fund, crypto lender Voyager received a $200 million increase from Alameda. Additionally, FTX provided a $250 million revolving credit line to US bitcoin lender BlockFi.
The rescue was meant to safeguard client assets and prevent system contagion.
FTX Ventures was introduced earlier this year. It concentrates on investments in digital assets and has aided businesses that possessed assets but lacked liquidity.
Fried claims that although helping each of these companies becomes more expensive, FTX still possesses the resources to handle a $2 billion deal if required.
According to the CEO, even when it made no sense, he had supported failing cryptocurrency companies with his own money. The billionaire feels more at ease burning his fund than his company’s funds as he takes no delight in risking the funds of shareholders.
Despite all the heavy spending done by Bankman-Fried and his companies, the 30-year-old is still extremely wealthy. Forbes estimated Bankman-Fried’s net worth to be at $24 billion. However, Bloomberg’s billionaire index states that it has fallen by 50% as a result of the crypto market crisis.
The generous billionaire said he intends to give out 99% of his assets and he could contribute $100 million to help candidates during the election in 2024 while concentrating on matters like pandemic control.