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A Canadian Pension Fund Loses $95 Million On Its FTX Investment

The Teachers’ Pension Fund of Ontario (Canada) is the most recent name to confirm money losses from investing in the cryptocurrency exchange FTX.
A Canadian Pension Fund Loses $95 Million On Its FTX Investment 3

On the evening of November 18, a representative of the Ontario Teachers’ Pension Fund (Canada), one of Canada’s largest pension funds with assets under administration of up to $250 billion USD, announced a 95 million USD investment. After this exchange filed bankruptcy, USD into FTX fell to zero.

The fund stated that it contributed $75 million to FTX.com in the October 2021 fundraising round and continued to contribute $20 million to FTX US in the January 2022 funding round.

According to a fund official, “financial losses from these investments will have little influence on the Fund because their size is minimal relative to our total assets.” Despite this, we are quite upset with what occurred, have thoroughly assessed the harm, and will use this as a lesson for the future.”

A Canadian Pension Fund Loses $95 Million On Its FTX Investment 4

As a result, Temasek ($275 million), Genesis Trading ($175 million, blocked withdrawals), Galois Capital ($40 million), Multicoin Capital ( 10% of assets), BlockFi (heavily damaged, about to go bankrupt), and Sequoia ($213 million) have all announced losses from FTX. Paradigm (290 million dollars),… Because Temasek is a Singapore government investment fund, it can have negative implications in the view of the general people, similar to the Ontario teacher’s pension fund.

This is not the first time a Canadian pension fund has suffered a loss in the cryptocurrency business. The Quebec pension fund accepted the loss of a $150 million investment in Celsius Network, a crypto lending platform that went insolvent after the LUNA-UST fall produced a liquidity problem.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

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