Investor, “Shark Tank” choose and CNBC contributor Kevin O’Leary stated Thursday he’s lost the entire $15 million FTX paid him to behave as a spokesman for the now-collapsed crypto alternate that some have called fraudulent.
O’Leary and different celebrities, resembling Tom Brady and Larry David, were sued by FTX investors who say the alternate’s ambassadors ought to have carried out extra due diligence and exercised a larger degree of care earlier than selling the crypto empire.
The Canadian investor was grilled by CNBC’s “Squawk Box“ hosts over his failure to correctly assess the dangers related to investing and selling FTX. O’Leary stated that he fell prey to “groupthink,” and that none of his funding companions had lost cash.
“Total deal was just under $15 million, all in,” O’Leary stated. “I put about $9.7 million into crypto. I think that’s what I lost. I don’t know. It’s all at zero.”
He additionally stated he had greater than $1 million of FTX fairness, now rendered nugatory by the chapter safety course of. The steadiness of slightly over $4 million was purportedly eaten up by taxation and agent charges, in accordance with O’Leary.
O’Leary promoted FTX aggressively on Twitter and on-line, touting his shut reference to disgraced founder Sam Bankman-Fried, who’s going through a number of investigations.
When O’Leary first started to advertise FTX, he stated it was FTX’s compliance methods that drew him to spend money on the crypto alternate.
Ultimately, Delaware chapter safety filings by new FTX CEO John Ray III would time period FTX’s threat, audit and compliance procedures “a complete failure of corporate controls.”
“It was not a good investment,” O’Leary stated Thursday.
Disclosure: CNBC owns the unique off-network cable rights to “Shark Tank.”