Legality and morality are very often unrelated; in this case, the implication is not that he did something illegal, but that he is an asshole for spending his money for the purpose of making other people’s lives worse to the benefit of nobody.
Personally, I think that’s a perfectly good reason for not giving him more money.
“Cancel culture” is many people (many of whom matter to investors in one way or another) stating that they also feel that that is a bad place to put money.
I doubt funders care about your opinions on gay marriage, but they do care a lot about the stink the cancel culture raised around him.
The poison seems to be applied externally.