Binance’s FTX Bailout: Singapore Government Involved Indirectly

FTX’s largest Singapore government-owned investor Temasek on Wednesday said it is engaging with FTX amid the bailout by rival crypto exchange Binance. Temasek has participated in three funding rounds of FTX and it’s one of the largest investors along with Lightspeed Venture Partners, Insight Partners, SoftBank, BlackRock, and others. Rumors have started spreading that Temasek may bailout crypto exchange FTX.

Would Singapore Government Investor Bailout FTX

FTX crypto exchange reached out to Binance CEO “CZ” to help the firm with the liquidity crunch. Binance CEO announced signing a non-binding LOI with FTX to solve the liquidity crunch. The FTX-Alameda crisis caused a selloff in the broader crypto market, causing the markets to crash.

FTX’s 3rd largest investor Temasek now engages with the crypto exchange as Binance signed a non-binding agreement, which makes Binance drop out of the deal at any time. Crypto Twitter is wondering if Temasek would go for a state-sponsored bailout.

“We are aware of the developments between FTX and Binance, and are engaging FTX in our capacity as a shareholder.”

Lightspeed Venture Partners, Insight Partners, BlackRock, Ontario Teachers Pension Plan, Paradigm, Tiger Global, SoftBank, Circle, Sequoia, Ribbit Capital, Multicoin Capital, and VanEck are some of the largest investors in FTX.