Following the collapse of FTX, Binance announced the Industry Recovery Initiative (IRI) to help crypto projects facing liquidity crises. But Bloomberg reported that the startup only distributed less than $30 million of the $1 billion allocated.
Binance's $1 Billion Crypto Recovery Fund Distributed $30 Million
Binance has committed nearly $1 billion to IRI with its BUSD stablecoin, with an additional $70 million contributed by various crypto firms including Jump Crypto, DWP Labs, Animoca Brands, Aptos Labs, GSR, Kronos Research, Booker Group, and Polygon Labs .
Of the nine publicly disclosed participants, only Aptos Labs fully invested the funds it committed.
While Binance stated that a total of 18 companies participated, it refused to disclose the names of the projects or the specific amounts paid, despite initial promises of transparency.
The most significant investment announced was Binance's $15 million stake in South Korean crypto exchange GOPAX. But that deal is still awaiting approval from South Korea's financial regulator after a postponement in July.
Among the participants, it was reported that DWF Labs distributed $2 million of the $15 million IRI commitment, while Aptos Labs exceeded its $5 million commitment. The remaining participants either did not distribute funds or could not be identified.
*This is not investment advice.