FTX Halts Selling $500M Stake in AI Startup Amid Recovery Efforts
FTX has halted the sale of its stake in Anthropic, an artificial intelligence company valued at $500 million. It is one of the bankrupt cryptocurrency exchange’s largest investments, alongside a $1.5 billion investment in Genesis Digital.
That is what people who are familiar with the case and with whom they have shared information say Bloomberg on the condition of anonymity, investment firm Parella Weinberg Partners, acting as an advisor to FTX, has notified bidders of the break.
Prior to the break, several companies had reportedly expressed interest in buying the stake thanks to the current boom in AI. According to a previous report from Semafor, Perella Weinberg planned to sell hundreds of millions of dollars worth of shares in Anthropic on behalf of FTX.
Founded in 2021 by former OpenAI employees, Anthropic has gained immense popularity due to the current AI boom, and the initial investment by FTX is said to be higher. Anthropic raised $450 million in a Series C funding round in May at a reported valuation of $4.6 million.
The company has an AI assistant that the company says can be used as a customer service agent or sales representative. The AI chatbot competes with OpenAI’s ChatGPT and can reportedly be instructed to perform various tasks, including answering questions.
FTX Asset Recovery Report
The sale delay delays efforts to recover an estimated $2 billion owed to FTX investors. In a report of Financial MagnatesFTX’s bankruptcy team charged with recoveries said it had since recovered $7 billion of the $8.7 billion owed to customers.
According to the research report by John Ray, the CEO of FTX who leads the recovery of users’ funds, it was found that $6.4 billion of the money FTX owes to its clients is in fiat currency and stablecoins, which are reportedly embezzled.
Also detailed in the report were alleged investments in luxury real estate in the Bahamas, political and charitable donations, speculative trading, venture investments and acquisitions by the former FTX executives. FTX is undergoing bankruptcy proceedings in Delaware, while founder Sam Bankman-Fried faces criminal charges.
FTX has halted the sale of its stake in Anthropic, an artificial intelligence company valued at $500 million. It is one of the bankrupt cryptocurrency exchange’s largest investments, alongside a $1.5 billion investment in Genesis Digital.
That is what people who are familiar with the case and with whom they have shared information say Bloomberg on the condition of anonymity, investment firm Parella Weinberg Partners, acting as an advisor to FTX, has notified bidders of the break.
Prior to the break, several companies had reportedly expressed interest in buying the stake thanks to the current boom in AI. According to a previous report from Semafor, Perella Weinberg planned to sell hundreds of millions of dollars worth of shares in Anthropic on behalf of FTX.
Founded in 2021 by former OpenAI employees, Anthropic has gained immense popularity due to the current AI boom, and the initial investment by FTX is said to be higher. Anthropic raised $450 million in a Series C funding round in May at a reported valuation of $4.6 million.
The company has an AI assistant that the company says can be used as a customer service agent or sales representative. The AI chatbot competes with OpenAI’s ChatGPT and can reportedly be instructed to perform various tasks, including answering questions.
FTX Asset Recovery Report
The sale delay delays efforts to recover an estimated $2 billion owed to FTX investors. In a report of Financial MagnatesFTX’s bankruptcy team charged with recoveries said it had since recovered $7 billion of the $8.7 billion owed to customers.
According to the research report by John Ray, the CEO of FTX who leads the recovery of users’ funds, it was found that $6.4 billion of the money FTX owes to its clients is in fiat currency and stablecoins, which are reportedly embezzled.
Also detailed in the report were alleged investments in luxury real estate in the Bahamas, political and charitable donations, speculative trading, venture investments and acquisitions by the former FTX executives. FTX is undergoing bankruptcy proceedings in Delaware, while founder Sam Bankman-Fried faces criminal charges.