Rather than further praising or critiquing the FTX/Alameda team, I want to flag my concern that the broader community, including myself, made a big mistake in the “too much money” discourse and subsequent push away from earning to give (ETG) and fundraising. People have discussed Open Philanthropy and FTX funding in a way that gives the impression that tens of billions are locked in for effective altruism, despite many EA nonprofits still insisting on their significant room for more funding. (There has been somepushback, and my impression that the “too much money” discourse has been more prevalent may not be representative.)
I’ve often heard the marginal ETG amount, at which point a normal EA employee should be ambivalent between EA employment and donating $X per year, at well above $1,000,000, and I see many working on megaproject ideas designed to absorb as much funding as possible. I think many would say that these choices make sense in a community with >$30 billion in funding, but not one with <$5 billion in funding, just as ballparks to put numbers on things. I think many of us are in fortunate positions to pivot quickly and safely, but for many, especially from underprivileged backgrounds, this collapse in funding would be a complete disenchantment. For some, it already has been. I hope we’ll be more cautious, skeptical, and humble in the future.
[Edit 2022-11-10: This comment started with “I’m grateful for and impressed by all the FTX/Alameda team has done, and”, which I intended as an extension of compassion in a tense situation and an acknowledgment that the people at FTX and Alameda have done great things for the less fortunate (e.g., their grants to date, choosing to earn to give in the first place), regardless of the current situation and any possible fraud or other serious misbehavior. I still think this is important, true, and often neglected in crisis, but it distracts from the point of this comment, so I’ve cut it from the top and noted that here. Everyone involved and affected has my deepest sympathy.]
Rather than further praising or critiquing the FTX/Alameda team, I want to flag my concern that the broader community, including myself, made a big mistake in the “too much money” discourse and subsequent push away from earning to give (ETG) and fundraising. People have discussed Open Philanthropy and FTX funding in a way that gives the impression that tens of billions are locked in for effective altruism, despite many EA nonprofits still insisting on their significant room for more funding. (There has been some pushback, and my impression that the “too much money” discourse has been more prevalent may not be representative.)
I’ve often heard the marginal ETG amount, at which point a normal EA employee should be ambivalent between EA employment and donating $X per year, at well above $1,000,000, and I see many working on megaproject ideas designed to absorb as much funding as possible. I think many would say that these choices make sense in a community with >$30 billion in funding, but not one with <$5 billion in funding, just as ballparks to put numbers on things. I think many of us are in fortunate positions to pivot quickly and safely, but for many, especially from underprivileged backgrounds, this collapse in funding would be a complete disenchantment. For some, it already has been. I hope we’ll be more cautious, skeptical, and humble in the future.
[Edit 2022-11-10: This comment started with “I’m grateful for and impressed by all the FTX/Alameda team has done, and”, which I intended as an extension of compassion in a tense situation and an acknowledgment that the people at FTX and Alameda have done great things for the less fortunate (e.g., their grants to date, choosing to earn to give in the first place), regardless of the current situation and any possible fraud or other serious misbehavior. I still think this is important, true, and often neglected in crisis, but it distracts from the point of this comment, so I’ve cut it from the top and noted that here. Everyone involved and affected has my deepest sympathy.]