I mean the short answer to this is very simple: Because the people funding the foundation didn’t want to (or couldn’t) put their money into the foundation.
The more interesting question is why the FTX Foundation team were happy with this setup. It would be interesting to hear from them on this.
They didn’t exactly have a lot of leverage here, so I wouldn’t assume they were necessarily “happy.” The alternative was probably declining to serve as Foundation staff. Although there are some circumstances under which sservice would be unwise—such as a concern that the money was procured by fraud—I am not convinced that the funders’ choice to fund on an pay-go basis rather than depositing several billion dollars up front is one of them.
Okay, I think that’s fair. I would have preferred, though, if they would have been more transparent about this to the people the FTX Foundation had been supporting.
I mean the short answer to this is very simple: Because the people funding the foundation didn’t want to (or couldn’t) put their money into the foundation.
The more interesting question is why the FTX Foundation team were happy with this setup. It would be interesting to hear from them on this.
They didn’t exactly have a lot of leverage here, so I wouldn’t assume they were necessarily “happy.” The alternative was probably declining to serve as Foundation staff. Although there are some circumstances under which sservice would be unwise—such as a concern that the money was procured by fraud—I am not convinced that the funders’ choice to fund on an pay-go basis rather than depositing several billion dollars up front is one of them.
Okay, I think that’s fair. I would have preferred, though, if they would have been more transparent about this to the people the FTX Foundation had been supporting.