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it's an interesting moral question
if i give someone money and that alleviates their poverty, is that an ethical action? i think so. you are eliminating harm by reducing hunger, providing shelter, etc.
if i give someone money and that alleviates their poverty, but i do it for my own personal gain, is that an ethical action? you are still eliminating harm but you are doing it for an amoral reason.
ethical action, amoral motivation
then there's the perspective of by taking advantage of this individual, you are doing your part in perpetuating an unjust system. you are playing the role of the opiate of the masses. distracting and comforting those who are at the bottom of the pyramid.
having said all that, i think it's still more ethical than bumfights. although i couldn't tell you if it was ethical or not by its own
Defining ethics is a question as old as philosophy itself.
He isn't generally elevating randos out of poverty though. I don't have citations but my understanding is most of the big payouts he has done went to people in his friend group despite the implication that it was not.