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FTX Exchange Investigates $6.5 Million Payments to AI Safety Organization Amid Clawback Efforts

FTX Initiates Inquiry into $6.5M Payments to AI Safety Group Amid Recovery Actions

Bankrupt crypto exchange FTX is seeking information regarding $6.5 million in payments made to a nonprofit AI safety organization, the Center for AI Safety (CAIS).

The payments were reportedly made between May and September 2022, several months before FTX’s collapse and declaration of bankruptcy.

In a court filing on October 25, FTX’s legal representatives requested permission from a Delaware Bankruptcy Court judge to issue subpoenas to CAIS.

These subpoenas would seek information related to payments, funds, communications, agreements, or contracts between CAIS and FTX, its affiliates, and former executives.

FTX’s move to investigate CAIS is likely part of its broader efforts to recover funds, with the aim of repaying its creditors and customers who were affected by the exchange’s collapse in November 2022.

In a report from June, FTX stated that it had already recovered approximately $7 billion but required an additional $1.7 billion to cover customer funds that it alleged were misappropriated.

CAIS is best known for a notable open statement on AI risk published in May. This statement emphasized the importance of addressing the potential risks of artificial intelligence and advocated for prioritizing measures to mitigate the risks of AI-induced extinction, similar to concerns about nuclear war.

Prominent figures, such as OpenAI CEO Sam Altman and renowned AI expert Geoffrey Hinton, signed the statement.


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