Ontario Teachers' Pension Plan invested US$95M into failing crypto platform FTX
The Ontario Teachers' Pension Plan Board office, in Toronto, Tuesday, Sept. 28, 2021. The Ontario Teachers Pension Plan said on Thursday it had invested a total of US$95 million to the cryptocurrency exchange FTX.THE CANADIAN PRESS/Cole Burston
The Canadian Press
Published Thursday, November 10, 2022 7:44PM EST
The Ontario Teachers' Pension Plan says it invested US$95 million into failing cryptocurrency exchange platform FTX Trading.
Rival exchange platform Binance pulled out of a deal to purchase FTX due to significant concerns, sending cryptocurrency prices falling, with Bitcoin sinking to a two-year low.
FTX is now being investigated for potential securities violations.
OTPP says it invested in FTX's international and U.S. arms through its Teachers' Venture Growth platform so it could gain small-scale exposure to this emerging area.
It says any financial loss on its investment in FTX will have limited impact on the pension plan because the investment represents less than 0.05 per cent of its total net assets.
Customers were fleeing FTX after concerns arose that it might not have sufficient capital.
This report by The Canadian Press was first published Nov. 10, 2022.