• Ontario Teachers’ Pension Plan (OTPP) – Canada’s largest single-profession pension plan – has decided not to invest in cryptocurrency investments following its bad experience with FTX.
• OTPP had previously invested $95 million in the now-bankrupt exchange, which has since shrunk to virtually zero.
• CEO Jo Taylor said the decision was based on “feedback from our members,” and that they regret any losses their members have suffered.
Ontario Teachers‘ Pension Plan Decides Not To Invest In Crypto
Canada’s largest single-profession pension plan, Ontario Teachers‘ Pension Plan (OTPP), has decided not to invest in cryptocurrency after losing money on a previous investment. The organization had invested $95 million into the now-bankrupt FTX exchange, which shrank to virtually zero.
CEO Jo Taylor Comments On Decision
CEO Jo Taylor commented on the organization’s decision, saying that it would be unwise for them to rush into another crypto investment based on what happened with FTX. He also said that the decision was partially due to feedback from their members, and they regret any losses their members have suffered as a result of their initial interaction with the collapsed platform.
OTPP Previously Showed Support For FTX
OTPP had previously shown support for FTX by making two separate investments in 2021 and early 2022 for a total of $95 million. However, when the fund’s investment accounted for less than 0.05% of its total assets, OTPP faced criticism from its members and other investors alike for dealing with an unreliable company whose future was uncertain at best.
Lesson Learned From Investment
The dramatic crash of FTX taught OTPP an important lesson – it would be unwise for them to rush into another crypto investment without proper research and consideration of all possible risks involved. As such, they will be refraining from investing in this asset class until further notice.
In conclusion, it appears that OTPP has learned a valuable lesson from its experience with FTX – namely that investing in cryptocurrencies should not be taken lightly or done without due diligence and caution as there are high levels of risk associated with this market segment