verstake reports that crypto users and Ukraine followers sent roughly $60 million in crypto and fiat to support Ukraine's armed forces and other humanitarian causes.

However, in light of FTX's liquidity issues and bankruptcy, Sam Bankman-fall Fried's grace, and legal action against the firm and its executives, people on social media have taken many rights and freedoms with the truth regarding the final destination of crypto donations.

According to online conspiracy theories, Aid for Ukraine's funds were diverted to the United States Democratic Party due to their association with FTX and Bankman-previous Fried's political donations. Among those spreading the rumors is the United States. North Carolina Representative Madison Cawthorn, according to an Everstake spokesperson, the claims were spread by biased media, such as Fox News and Russia Today.

The situation with FTX "does not affect the operation of Aid For Ukraine," according to the spokesperson, because the platform only used the exchange a few times in March to convert crypto donations to fiat and had no funds stored on FTX at the time of its collapse.

Bankman-Fried admitted to being a significant donor to political candidates in the United States 2022 midterm elections, with a large percentage of his contributions going to Democrats. The Texas Tribune reported on November 29 that Texas gubernatorial candidate Beto O'Rourke, a Democrat who lost his race against elected Greg Abbott, had returned a $1 million donation from SBF prior to election day.

On the other hand, SBF dismissed claims that he was assisting the Democrats in laundering money through Ukraine. "I wish I could have pulled that off," Bankman-Fried joked in an interview with Tiffany Fong on Nov. 16 about the rumors. I was assisting Ukraine in laundering funds for the Democratic Party. I wished I was a part of such an intriguing international conspiracy."

Vasylchuk told Cointelegraph that Ukrainian government officials had been forced to respond to serious people who had inquired about the online rumors. The Everstake CEO speculated that the recent Twitter shakeup following Elon Musk's appointment as CEO had further opened the door for conspiracy theories to run amok on the platform, such as the one involving FTX and Ukraine's crypto donations.

Vasylchuk reported that cryptocurrency donations to Aid for Ukraine had slowed recently. On November 29, many cryptocurrency users are expected to send cash and tokens to different organizations as part of Giving Tuesday, also known as Bitcoin Tuesday.

Do you think that this will have a negative impact on other blockchain firms? Let us know your thoughts by sharing this article on social media.

Nov 30, 2022
Crypto News

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