Several Democrat groups have pledged to set aside donations from disgraced FTX founder Sam Bankman-Fried following the collapse of the cryptocurrency company. According to the Washington Examiner, Bankman-Fried, commonly known as SBF, gave approximately $40 million to Democrats. He also made “dark money” contributions to Republicans.
At least three Democrat-affiliated organizations that accepted contributions from him (the Democratic National Committee, the Democratic Congressional Campaign Committee, and the Democratic Senatorial Campaign Committee) reportedly intend to return the funds.
After his fall from grace, SBF’s influence on Capitol Hill was questioned because records show him giving a wide range of gifts to members of Congress. Some have stated their intention to refund or donate the money they got from the Cryptocurrency tycoon, including California Representative Jim Costa.
SBF was taken into custody on Monday and is now facing eight felonies. He was denied bail on Tuesday and is being held in a Bahamas prison while awaiting his extradition hearing on February 8. Charges against Bankman-Fried include conspiracy to launder money, conspiracy to commit commodities and securities fraud, conspiracy to perpetrate a separate wire fraud on clients and lenders, breaching campaign funding laws, and conspiracy to defraud the United States. The Securities and Exchange Commission has also charged him with civil securities fraud. He faces up to 115 years in prison.