11 months ago
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Temasek Holdings, a salient authorities capitalist successful Singapore, has taken the determination to reduce the compensation of its concern squad and elder absorption pursuing the failed concern successful the collapsed FTX cryptocurrency exchange.
This determination comes arsenic Temasek aims to uphold corporate accountability and code the repercussions of the concern setback. While an interior reappraisal recovered nary misconduct by the concern team, the institution acknowledges the request for enactment successful the aftermath of the FTX concern failure.
A Costly Investment Misstep
Temasek’s program to chopped compensation comes aft the authorities capitalist dismissed each of its $275 cardinal exposure pursuing the illness of the FTX crypto speech precocious past year. Despite investing $210 cardinal successful FTX International and $65 cardinal successful FTX US for number stakes, Temasek was forced to look the fiscal consequences of the crypto company’s demise.
According to Temasek, the company’s interior review, conducted by an autarkic team, examined the circumstances surrounding the concern and presented its findings straight to the board. Temasek Chairman Lim Boon Heng emphasized the value of corporate accountability successful the aftermath of the FTX concern failure.
While determination was alleged fraudulent behaviour that remained hidden from investors, including Temasek, the institution acknowledges its disappointment with the result and the resulting interaction connected its reputation.
Lim noted:
With FTX, arsenic alleged by prosecutors and arsenic admitted by cardinal executives astatine FTX and its affiliates, determination was fraudulent behaviour intentionally hidden from investors, including Temasek. Nevertheless, we are disappointed with the result of our investment, and the antagonistic interaction connected our reputation.
Lesson Learned
The Finance Minister of Singapore, Lawrence Wong, a large shareholder of the city-state’s largest companies including Singapore Airlines and Singapore Telecommunications, acknowledged the reputational harm suffered by Temasek owed to its concern successful FTX.
Speaking successful parliament, Wong highlighted the request for caution and a realistic appraisal of the blockchain sector, suggesting that earlier optimism astir the exertion whitethorn person been excessive. Nevertheless, despite the setback, Singapore remains committed to exploring and experimenting with emerging technologies.
Last year, Singapore’s DBS Bank a starring fiscal instauration expands its crypto trading service for 100,000 customers linked with its DBS Treasures section. As reported by Bitcoinist, DBS Bank launched a caller level called DDEx, which enables its clients to prosecute successful virtual currency trading.
Operating arsenic a member-only decentralized exchange, DDEx offers customers the accidental to commercialized a enactment of 4 salient cryptocurrencies. The archetypal roster of tradable integer assets includes Bitcoin (BTC), Ethereum (ETH), BitcoinCash (BCH), and Ripple (XRP).
Notably, portion Temasek did not supply circumstantial details regarding the grade of the compensation simplification oregon the fig of employees impacted by the decision, the company noted it continues to put successful early-stage companies to summation insights into the “ever-changing” scenery and “identify drivers” of aboriginal value.
Meanwhile, the planetary crypto marketplace has picked up successful bullish momentum implicit the play with ample crypto assets specified arsenic Bitcoin and Ethereum up by much than 2% successful the past 24 hours. At the clip of writing, the planetary crypto marketplace is presently up 2.4% with a full marketplace worth supra $1.2 trillion.
Featured representation from BBC, Chart from TradingView
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