The co-founder and CEO of a Bahamas-based cryptocurrency exchange said he plans to give away the bulk of his fortune, estimated to be in the billions.
FTX CEO Sam Bankman-Fried, one of the richest people in the world, told Bloomberg on Sunday that he will keep 1% of his earnings each year, or about $100,000. Every other dollar – or Bitcoin – will be given away under the philosophies of “effective altruism” and “earning to give.”
“You pretty quickly run out of really effective ways to make yourself happier by spending money,” Bankman-Fried told Bloomberg. “I don’t want a yacht.”
According to Forbes, Bankman-Fried’s current net worth is $24 billion. In 2021, investors valued FTX at $18 billion, and there has been rapid growth since. By January 2022, the exchange and its U.S. operations hit a combined value of $40 billion.
In terms of “earning to give,” Bankman-Fried told Bloomberg that he gave away $50 million last year, including to funds for pandemic relief in India and climate initiatives.
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However, Bloomberg also reported the billionaire had donated less to charity than he has spent on other ventures – such as naming rights for the Miami Heat’s arena, with a cost of $135 million over 19 years. He also spent an estimated $30 million on a Super Bowl ad with comedian Larry David.
Bankman-Fried also had made large political contributions. In 2020, he contributed over $5 million to a super-PAC supporting now President Joe Biden. In 2021, he donated on both sides of the aisle – contributing $5,800 each, the maximum individuals can give directly to congressional campaigns, to six Senate Republicans and four Senate Democrats, Forbes reported. The lawmakers included Bill Cassidy, R-La.; Susan Collins, R-Maine; Lisa Murkowski, R-Alaska; Ben Sasse, R-Neb.; Mitt Romney, R-Utah; Richard Burr, R-N.C.; Patty Murray, D-Wash.; Alex Padilla, D-Calif.; Maggie Hassan, D-N.H., and Joe Manchin, D-W.Va.
FTX did not respond to USA TODAY’s request for comment.
FTX cofounder and chief technology officer Gary Wang topped Forbes’ 2022 list of the world’s billionaires under 30 released Tuesday. Bankman-Fried congratulated his fellow cofounder on Twitter.
“Congratulations, Gary, on becoming the wealthiest person in the world under 30. I couldn’t be prouder,” wrote Bankman-Fried, who was Forbes’ richest 20-something last year, before turning 30 in March.
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