BlockchainCryptocurrency RegulationNewsWeb3

The FTX Meltdown Ruined A Samsung-Owned Subsidiary

Samsung Next, a Samsung investment subsidiary, is the latest victim of FTX’s demise after investing in the exchange during a fundraising round last year. The amount the company contributed to FTX’s $420 million capital round is unknown, but the electronics giant is encountering issues with its investment.

There are six industries that this Samsung subsidiary usually invests. Those industries include healthcare, artificial intelligence (AI), fintech, media technology, infrastructure, and blockchain

One of its most prominent investments was in FTX. Hence, the company joined many other businesses impacted negatively by the FTX collapse. Other notable companies include Tiger Global, Sequoia Capital, BlockFi, Softbank, and Temasek. 

Nevertheless, the company acknowledged that its investment in the FTX exchange was modest compared to its operational funds. As a result, there is no need to worry about how it operates.

The market is still under fire due to the crash of the FTX crypto exchange. The crypto market continues to suffer the consequences of the FTX crash. 

However, the possibility of hearing this kind of news will decrease as time passes. Yet, the damage it has caused is massive already. 

📰 Also read:  Crypto.com to Delist USDT and 9 Other Cryptocurrencies in Europe on January 31

Thus, it has forced regulators to tighten their approach to bringing in stricter regulations to guide the market.

Samsung Next was founded in 2013, with its main office in Silicon Valley. It is a company that invests much in tech and is known for innovation. 

Several firms in the blockchain and cryptocurrency sectors are part of its investments. It has invested in several cryptocurrency businesses. 

The most popular ones are Alchemy, Flow, SuperRare, CryptoKitties, ImmuneFi, and Dapper Labs. Samsung Next claimed that it believes the FTX crypto exchange is on the front edge of Web3 after investing in the company last year.

After the investment, Samsung Next complimented FTX for being controlled and efficient in its objective. However, after the demise of FTX and the loss of its investment, the electronics giant has not made many statements.

Top Investors Write Off Their FTX Investments

Meanwhile, some investors, especially investment firms such as Paradigm and Sequoia, have chosen to write off their FTX investments. The Ontario Teachers’ Pension Plan also made a similar move but came under fire for making such a move. 

📰 Also read:  High Failure Rate of AI Agents in Web3 isn’t Unexpected - Experts

Although the Pension Plan had invested $95 million, it claimed that writing off its FTX investment would not significantly harm its financial bottom line.

The fall of FTX has caused a loss of trust towards the cryptocurrency industry as a whole. Hence, crypto companies need to unite to restore this trust.


At Tokenhell, we help over 5,000 crypto companies amplify their content reach—and you can join them! For inquiries, reach out to us at info@tokenhell.com. Please remember, cryptocurrencies are highly volatile assets. Always conduct thorough research before making any investment decisions. Some content on this website, including posts under Crypto Cable, Sponsored Articles, and Press Releases, is provided by guest contributors or paid sponsors. The views expressed in these posts do not necessarily represent the opinions of Tokenhell. We are not responsible for the accuracy, quality, or reliability of any third-party content, advertisements, products, or banners featured on this site. For more details, please review our full terms and conditions / disclaimer.

📰 Also read:  Bitwise DOGE ETF Filing: Dogecoin Price Could Rally 900% - Analyst

Bradley Nelson

Bradley Nelson is a US based cryptocurrency news writer for Tokenhell, he helps readers stay up to date with the latest trends and news from the blockchain and crypto world. Bradley has been a crypto enthusiast since 2018.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
Close
Skip to content