Binance's Forgotten Fortune: $39M Charity Donation Languishes in Malta
A 2018 Binance donation to a Maltese cancer fund, now worth millions, remains untouched, raising questions about accountability and utilization of crypto philanthropy.
A Crypto Windfall Unclaimed: Binance's Malta Donation
A surprising revelation has surfaced regarding a 2018 charitable pledge made by Binance to Malta's Community Chest Fund. What started as a $200,000 donation in BNB has ballooned to an estimated $39 million due to the cryptocurrency's appreciation. However, this substantial sum remains unclaimed and unused, sparking debate and calls for action.
Coinbase executive Conor Grogan highlighted the situation, urging Maltese citizens to inform their government about the availability of these funds, suggesting they could significantly benefit the healthcare system.
A History of Controversy
The initial donation occurred during Malta's push to become a "Blockchain Island," attracting crypto companies with favorable regulations. Binance pledged the funds through its Blockchain Charity Foundation.
In 2020, the Malta Community Chest Fund filed a lawsuit accusing Binance of attempting to back out of the agreement and relocate assets to the U.S. The lawsuit was later dropped after the funds were located, but the money remains untouched.
More Unclaimed Funds
Grogan's investigation also uncovered $38 million in a dormant wallet intended for West Japan disaster relief. While some of the original $1.4 million was withdrawn, the remaining amount significantly appreciated.
Binance's Ongoing Charitable Efforts
Despite the controversy surrounding the Malta donation, Binance has continued its charitable activities under current CEO Richard Teng. Recent initiatives include:
- A $598,025 donation to Myanmar and Thailand following an earthquake.
- A $1.5 million BNB airdrop to affected users in Myanmar and Thailand.
- Up to $1.2 million in BNB for flood victims in southern Taiwan.
CZ's Giggle Academy has also raised over $11 million in BNB donations.
Regulatory Scrutiny in Malta
Malta is currently facing increased regulatory scrutiny from the EU, with debates ongoing regarding centralized oversight of crypto firms. Concerns have been raised about the consistency of crypto licensing rules across member states.
Key Takeaways
- A $39 million Binance donation to Malta remains unclaimed.
- The situation raises questions about accountability in crypto philanthropy.
- Malta faces increased regulatory scrutiny from the EU.
Investment Considerations
As always, investors should consider their risk tolerance and investment timeline before making allocation decisions. Bitcoin remains a volatile asset despite increasing institutional adoption.
This article is for informational purposes only and should not be considered investment advice. Always consult with a qualified financial advisor.
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