196 American politicians took donations from FTX

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Last Updated on 6 November 2023 by CryptoTips.eu

The latest scandal in US politics is that both current president Joe Biden and former president Donald Trump had top secret documents in their private residences, a big no-no for the secret services. A less talked about scandal is looming as soon as the FTX court case against Sam Bankman-Fried will start, as no less than 196 members of the US congress seem to have taken ‘donations’ from the popular American, but now bankrupt, crypto platform.

Advertentie.

Both sides

During the interview round that Sam did just before he got arrested, he admitted to giving not only to the Democrats but also to the Republicans. The recipients of crypto money included new Speaker of the House Kevin McCarthy (a republican from California) and Senate Majority Leader Chuck Schumer (a Democrat from New York)

During the 2022 election cycle for example, FTX gave some $40 million to Democratic politicians or groups and some $200,000 to Republicans. However during it’s entire existence the sums are known to have been much bigger (according to Fortune FTX spent $93 million on political donations in the past two years).

Problem for the politicians is that the FTX bankruptcy lawyers now want that money back to pay the customers who have lost their moneys. And as anyone knows, getting money back from politicians is pretty much the hardest thing anyone has ever done.

Anthony Sabino, a professor of law at St. John’s University said that it’s probably “tough luck” if the donated money has already been spent.

If you no longer have the money – too bad. You are still liable. You might go bankrupt yourself.

As Cryptotips has noted previously already, the FTX court case will be one that a lot of Americans are going to watch.

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
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