A sovereign wealth fund, a public pension fund, and dozens of venture capital firms invested $2 billion in FTX, propelling its valuation to $32 billion in January. FTX’s chapter 11 bankruptcy filing on Friday will likely wipe out the value of the equity stakes. Already several prestigious investment firms that backed it are marking their stakes to zero.
The biggest VC losers include Paradigm, a cryptocurrency focused investor, and Sequoia Capital. These firms lost $278 million and $214 million, respectively. Other losers include SoftBank, Tiger Global, the Singapore government investment fund Temasek and the Ontario Teachers’ Pension Plan.
