The bankruptcy of ‘crypto’ hedge fund Three Arrows Capital (3AC) continues to rock the wider digital asset sector, threatening an ever-widening pool of companies that put their trust in a pair of scammers.
Founders of Three Arrows Capital (3AC), a ‘crypto’ hedge fund, appeared to have gone missing after filing for bankruptcy.
The order was made in response to an emergency motion by liquidators, who say that 3AC’s founders—Su Zhu and Kyle Davies—have been uncooperative.
Voyager Digital CEO Stephen Ehrlich says the company will be using Chapter 11 protection to begin restructuring the enterprise in a way that will maximize the value for its stakeholders.
Just as things seemed to be settling down in the digital currency space, Vauld, a lender backed by Coinbase, has suspended withdrawals and hired advisors to explore restructuring.
The conditions are ripe for a long ‘crypto winter’ from which many coins will never recover, and as we can all see, it’s a multi-faceted problem with no easy solutions in sight.
Digital asset hedge fund Three Arrows Capital, which had been around since 2012, now appears to be dragging other industry names into its whirlpool.
The best way to prepare for the further decline in the digital asset markets is to manage risk. Selling is good too, especially if you know that you can buy back at a lower price in the future.
After claiming that they had properly managed risk and that no client funds were impacted, SBF announced that FTX was "injecting $250m into BlockFi and partnering with them."
News broke early this week that a British Virgin Islands court had ordered Singapore-based digital currency hedge fund Three Arrows Capital (3AC) into liquidation.
Joshua Henslee released a video explaining how he sees wider systemic risk in the digital currency sector and how this might be the moment when the house of cards finally comes down.
If you bought BTC on January 1, 2022, you would be down roughly 60% on your initial investment, while if you bought BSV, you would be down approximately 50% on your initial investment.
