Crypto mega hedge fund Three Arrows Capital has reportedly filed for bankruptcy in New York – TechCrunch

Crypto hedge fund Three Arrows Capital (3AC) has filed for Chapter 15 bankruptcy in New York, according to a Bloomberg report.

The mega-fund, founded by Credit Suisse traders Zhu Su and Kyle Davies, at one point managed around $10 billion in assets and was a linchpin among crypto-finance players. Its insolvency forced major industry players to reshuffle operations and limit customer withdrawals amid a crypto selloff that seemed to catch many mega-corporations off guard.

Chapter 15 bankruptcy will allow overseas firm to protect US assets while liquidation is carried out in the British Virgin Islands following a court order this week after 3AC defaulted on a loan $660 million to Voyager Digital. 3AC is based in Singapore.

The ongoing corporate collapse is causing problems for many venture capitalist-backed crypto darlings. Earlier today, BlockFi announced a deal with FTX US and noted that it had lost around $80 million from its relationship with 3AC.

Subscribe to TechCrunch’s crypto newsletter “Chain Reaction” for news, funding updates and takes on the wild world of web3 – and listen to our companion podcast!


Not all news on the site expresses the point of view of the site, but we transmit this news automatically and translate it through programmatic technology on the site and not from a human editor.
Back to top button