Defunct cryptocurrency exchange FTX is reportedly gearing up to sell its stake in artificial intelligence firm Anthropic for approximately $1 billion. This move is part of a strategy to pay off its bankruptcy debts, according to a report from CNBC on March 22.
Anthropic Seeks New Investors
Anthropic is currently exploring various investors to purchase the stake, with a deal expected to be finalized within the next few weeks. The shares are being marketed through a special purpose vehicle (SPV), which is a separate legal entity often used to protect a parent company’s assets in the event of insolvency.
Exclusions and National Security Concerns
Sources suggest that Saudi Arabia has been excluded from the list of potential investors due to alleged national security concerns. However, it is not specified whether this exclusion applies only to state investors or also to individual or corporate investors from Saudi Arabia. The shares being sold are “Class B” non-voting shares.
Background and Legal Context
FTX originally purchased approximately $530 million in Anthropic shares in April 2022. However, the value of these shares has nearly doubled amid the boom in generative AI, now estimated at around $1 billion. The decision to sell these shares was approved by Delaware Bankruptcy Court Judge John Dorsey in a hearing on February 22.
Context of Upcoming Sentencing
This development comes ahead of FTX founder Sam Bankman-Fried’s sentencing hearing scheduled for March 28. Bankman-Fried was found guilty of seven fraud counts in November 2023, with U.S. Attorney Damian Williams describing the crimes as part of “a multibillion-dollar scheme designed to make him the king of crypto.”
Conclusion
FTX’s move to offload its Anthropic stake marks a significant step in its efforts to settle bankruptcy debts. The exclusion of Saudi Arabia and the upcoming sentencing hearing of its founder add layers of complexity to the situation, highlighting the intricate legal and financial landscape of the cryptocurrency industry.
