The US Judicial Council Arrests Actors Allegedly Stealing IDR 136.2 Billion in Crypto

Previously, Singapore sovereign wealth fund Temasek revealed it is currently not looking to invest in crypto companies amid regulatory uncertainty in the sector.

“There is a lot of regulatory uncertainty in this environment. I think it is very difficult for us to invest and exchange again amid all this regulatory uncertainty,” said Temasek Chief Investment Officer, Rohit Sipahimalani, quoted from CNBC, Wednesday (12/7/2023).

The US Securities and Exchange Commission (SEC) is suing top US crypto exchange Ripple for violating local securities laws by selling its native XRP token without first registering it with regulators.

The SEC separately charges other US crypto exchange Coinbase for operating as an unlisted stock exchange, broker or clearing company. It also accused Coinbase of failing to register its staking program offers and sales.

“If you have the right regulatory framework in place, and we are comfortable with it, and you have the right investment opportunity, there’s no reason for us not to look at it,” explained Sipahimalani.

He added that Temasek never intended to invest in cryptocurrencies. On Tuesday, Temasek posted its worst return since 2016, weighed down by macroeconomic and geopolitical challenges.

FTX loss

Temasek announced in mid-November that they would reduce their investment of USD 275 million or the equivalent of IDR 4.1 trillion (assuming an exchange rate of IDR 15,142 per US dollar) in FTX to zero.

US-based crypto exchange FTX went bankrupt in November 2022. The company has more than 100,000 creditors. Singapore Deputy Prime Minister and Finance Minister Lawrence Wong called the losses “disappointing” and damaged Singapore’s reputation.

In May, Temasek then announced a cut in the salaries of the staff in charge, after starting an internal review of its FTX investment which Sipahimalani described as Temasek’s strategy to find the next winner.