I remember hearing that Emerson/Nonlinear invested quite a lot into crypto—presumably with the current markets, his/Nonlinear’s portfolio must’ve taken a hit?
Are you potentially concerned about clawbacks to the money you hand out, especially if you’re dispersing small amounts to several people who could then be affected?
Also, will additional funders top you up, or will the money go directly to the people affected?
If funders top you up, would that potentially commingle FTX money with non-FTX funders’ money?
I remember hearing that Emerson/Nonlinear invested quite a lot into crypto—presumably with the current markets, his/Nonlinear’s portfolio must’ve taken a hit?
Yes, most crypto people have taken a hit, including Emerson. As far as I know, he has no plans to slow down his donations to Nonlinear.
Secondly, Nonlinear received a Future Fund grant: https://ftxfuturefund.org/our-grants/?_search=nonlinear Are you potentially concerned about clawbacks to the money you hand out, especially if you’re dispersing small amounts to several people who could then be affected?
We’re not using Future Fund grant money for this. That being said, we are still gathering information, but based on our conversations with lawyers and distressed debt investors, we are not as concerned as some community members are about clawbacks, especially for very small grants. This may update in the future as more information comes out.
Also, will additional funders top you up, or will the money go directly to the people affected?
We have had several funders reach out to us. Still working out the details :)
Regarding legalities, seeing that the grant is from April, I will also add that Molly mentions the general clawbacks are only relevant 3 months back into time from the dissolution of FTX organizations.
True, but fraudulent conveyance claims plausibly extend further than 90 days. As Molly says in the same article, “It is way too early to tell whether and how fraudulent conveyance claims might be used in the FTX bankruptcy proceeding...”
Hi! Just a few questions:
I remember hearing that Emerson/Nonlinear invested quite a lot into crypto—presumably with the current markets, his/Nonlinear’s portfolio must’ve taken a hit?
Secondly, Nonlinear received a Future Fund grant: https://ftxfuturefund.org/our-grants/?_search=nonlinear
Are you potentially concerned about clawbacks to the money you hand out, especially if you’re dispersing small amounts to several people who could then be affected?
Also, will additional funders top you up, or will the money go directly to the people affected?
If funders top you up, would that potentially commingle FTX money with non-FTX funders’ money?
Hi! Thanks for the questions.
Yes, most crypto people have taken a hit, including Emerson. As far as I know, he has no plans to slow down his donations to Nonlinear.
We’re not using Future Fund grant money for this. That being said, we are still gathering information, but based on our conversations with lawyers and distressed debt investors, we are not as concerned as some community members are about clawbacks, especially for very small grants. This may update in the future as more information comes out.
We have had several funders reach out to us. Still working out the details :)
Regarding legalities, seeing that the grant is from April, I will also add that Molly mentions the general clawbacks are only relevant 3 months back into time from the dissolution of FTX organizations.
True, but fraudulent conveyance claims plausibly extend further than 90 days. As Molly says in the same article, “It is way too early to tell whether and how fraudulent conveyance claims might be used in the FTX bankruptcy proceeding...”