Multiple media reports claim Virgin Islands court orders crypto hedge fund liquidation liquidation refers to the conversion of an asset or cryptocurrency for fiat or its equivalents. Three Arrows Capital.
- Three Arrows Capital crypto fund still in trouble
- A British Virgin Islands court has ordered its liquidation.
- The crypto fund is headquartered in Singapore
The situation becomes even more difficult for the crypto hedge fund Three Arrows Capital.
Now, a court in the British Virgin Islands has ordered the liquidation of Three Arrows Capital, 3ACThe Singapore-based company, which underlines the crisis affecting the cryptocurrency cryptocurrencies are digital currencies that use cryptographic technologies to secure their operation. sector. The information was originally given by the media Sky News, which he said came from a person connected to the matter, and was repeated by other English-language media. None have confirmed directly with spokespersons for 3AC.
It’s worth noting that bad news about this fund had already been brewing. On Monday, June 27th, cryptocurrency platform a place to buy, sell and store cryptocurrency Voyager Digital, a cryptocurrency broker that offers up to 12% in yield, submitted the notice of default. According to the report, Travel issued the notice toThree Arrows Capital capital is most commonly defined as the large sum of money you would use to invest. for a debt of 15,250 bitcoins (about USD $324 million) and USD $350 million in USDC.
Earlier, in the middle of the month, it was reported that 3AC could face insolvency after incurring settlements of at least USD $400 million.
Sky News learned that the company’s partners Teneo Restructuring in the British Virgin Islands lined up to handle the insolvency of the Singapore-based firm, which was set up in 2012 by Su Zhu and Kyle Davies.
Some cryptocurrency experts said today that the liquidation would be a significant moment in the ongoing crumbling of the cryptocurrency sector, which has grown at breakneck speed in recent years.
It is not yet clear what the immediate financial implications would be for the creditors of Three Arrows. However, the company’s demise is likely to raise more questions about the regulatory oversight to which cryptocurrencies and other digital digital technologies are these electronic tools that have the ability to generate, store or even process data. assets are subject in the world’s major financial centers.
Davies told the Wall Street Journal in an interview this month that he was “committed to working things out and finding an equitable solution for all of our constituents.”
He added thatThree Arrows was exploring options such as the sale of assets or a rescue by another firm. It was unclear whether such proposals were still being pursued today or whether some form of sale of Three Arrows’ assets by its liquidators was still possible.
It is worth noting thatThree Arrows Capital se became one of the largest cryptocurrency hedge funds. However, it was hit hard by the sudden collapse of the blockchain. s Earth. Then, when the broader crypto market an area or arena, online or offline, in which commercial dealings are conducted. fell substantially, this caused more problems for the fund, and they failed to meet margin calls.
It didn’t take long a situation where you buy a cryptocurrency with the expectation of selling it at a higher price for profit later. before cryptocurrency exchanges FTX, Deribit y BitMEX liquidate the positions ofThree Arrows Capital.
June 14 Su Zhu tuiteó :“Estamos en el proceso de comunicarnos con las partes relevantes y totalmente comprometidos a resolver esto”. After that he has not tweeted about it again.
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