FTX’s bankruptcy puts Singapore government at the receiving end of questions around retail investors’ protection | The Financial Express

FTX’s bankruptcy puts Singapore government at the receiving end of questions around retail investors’ protection

According to Cointelegraph, the Members of Parliament (MP) of the opposition Workers’ Party asked 15 questions around Temasek’s investment and FTX collapse

FTX’s bankruptcy puts Singapore government at the receiving end of questions around retail investors’ protection
Experts believe that FTX’s collapse has caused regulatory discussions and demand for better regulatory oversight of these centralised entities

The collapse of the currently bankrupt cryptocurrency exchange FTX has put Lee Hsien Loong, prime minister, Singapore, and Lawrence Wong, deputy prime minister, Singapore, in the situation where they are expected to receive questions on account of their failure to ensure retail investors’ protection, as reported by Cointelegraph.

According to Cointelegraph, the Members of Parliament (MP) of the opposition Workers’ Party asked 15 questions around Temasek’s investment and FTX collapse. The MPs raised questions around the government’s credibility to track the length of investments by Temasek and Singapore’s sovereign wealth fund called GIC. 

On the basis of information by Cointelegraph, it is believed that the discussions on government policies while conducting investigations in digital assets will go through further scrutiny in a Parliamentary discussion on November 28, 2022. Reportedly, the opposition MPs have given suggestions around a bipartisan committee for questioning Temasek on its investment strategies and risk assessment approaches. 

Moreover, Cointelegraph noted that Temasek also unveiled that eight months’ worth of investigation in 2021 didn’t reveal any form of negative points around FTX’s financials before taking the decision to invest $275 million into the exchange. Other than Temasek, Sequoia Capital also marked down its $214 million investment in the cryptocurrency exchange. Experts believe that FTX’s collapse has caused regulatory discussions and demand for better regulatory oversight of these centralised entities.

(With insights from Cointelegraph)

Also Read: Elon Musk doesn’t give recognition to his $600,000 worth cryptocurrency statue

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First published on: 28-11-2022 at 18:22 IST