The Treasury Department is reviewing Benchmark’s $75M investment in Manus AI over potential violations of the 2023 rules on funding Chinese firms
Recently valued at half a billion dollars, Manus AI is among the most exciting AI agent companies, having raised $75 million in a Benchmark-led round.
Semafor was informed by two unnamed sources, however, that the U.S. Treasury Department is now reviewing the investment for compliance with 2023 limits on Chinese company investment.
Semafor said Benchmark’s attorneys approved the investment since Manus is more of a “wrapper” around current AI models than technically creating his own.
Those attorneys also decided that Manus is not China-based, as it is registered in the Cayman Islands. Chinese businesses, such as Alibaba, often use such a structure to obtain overseas finance.
Critics of Benchmark’s Manus investment include Founders Fund partner Delian Asparouhov, who wrote on X “wow, actions have consequences?”
Requests for comment went unanswered right away from Benchmark, Manus, and Treasury.
