VC giant Sequoia writes down $214 million investment in FTX to zero: 'We are in the business of taking risk'

Sam Bankman-Fried (Credit: Ting Shen/Bloomberg via Getty Images)

Sequoia Capital said it will mark down its investment of $214 million in cryptocurrency exchange FTX to zero.

“In recent days, a liquidity crunch has created solvency risk for FTX,” the venture capital firm said in a note to investors it shared Wednesday on Twitter. “Based on our current understanding, we are marking our investment down to $0.”