(Republicaninformer.com)- The staggering implosion of crypto giant FTX, run by billionaire Sam Bankman-Fried, is likely to be a huge blow to the Democrat Party, as Bankman-Fried was one of the Democrats’ megadonors.
The scam artist billionaire was the second-largest donor to the Democrats in the 2022 election cycle, according to campaign records filed with the Federal Election Commission.
During the 2022 election cycle, Bankman-Fried donated over $39.7 million to Democrat causes, including giving six-figure checks to the DNC and the Senate Democrats’ Super PAC. He also donated another $6 million to the Democrat House Super PAC.
The only Democrat megadonor to donate more than Bankman-Fried during the last election was billionaire Lefty George Soros who coughed up $129 million.
Bankman-Fried had toyed with the idea of spending hundreds of millions, if not a billion dollars, on the upcoming 2024 presidential elections. But with the downfall of his cryptocurrency exchange, his 2024 spending plans are off the table.
FTX filed for bankruptcy last Friday and announced that the 30-year-old CEO Bankman-Fried was resigning after traders rushed to withdraw $6 billion from the platform in just 72 hours and rival exchange Binance walked away from a proposed rescue deal.
FTX.com, FTX’s US operations, and Bankman-Fried’s cryptocurrency trading firm Alameda Research are among the 130 FTX Group companies covered by the bankruptcy.
On Friday, Bankman-Fried tweeted his apology “that we ended up here.”
The crypto empire plunged to about $1 billion after being valued at $32 billion in January.
On Tuesday, it was reported that Bankman-Fried and FTX co-founder Gary Wang were detained “under supervision” by Bahamian authorities as they are being investigated by the country’s financial crimes unit.
Bahamian law enforcement has been probing FTX since its collapse last week and is working with the Bahamas Securities Commission “to investigate if any criminal misconduct occurred,” according to an official notice.