A team of lawyers from Singapore-based cryptocurrency hedge fund Three Arrows Capital (3AC) claims that the firm’s two founders, Su Zhu and Kyle Davies, may have fled Singapore with no whereabouts.
Three Arrows Capital is one of the large crypto-focused hedge funds, borrowing large sums from various companies and investing in different digital assets, but with the collapse of the Terra ecosystem, Three Arrows Capital’s LUNA exposure has suffered huge amounts of money The loss exposed the company’s liquidity crisis, which eventually led to Three Arrows Capital’s financial distress and a debt default . It was ordered to liquidate by the British Virgin Islands court , and then filed for bankruptcy protection in the New York court .
As of April 2022, Three Arrows Capital managed more than $3 billion in assets, according to its bankruptcy filing on July 1. The document also mentions that attorneys representing Three Arrows do not know where Three Arrows founders Su Zhu and Kyle Davies are, but there are rumors that they have also left Singapore:
The foreign representative was informed and believed that, although the debtor carried out certain business in Singapore, the current whereabouts of Su Zhu and Kyle Davies are unknown. There are rumors that they have left Singapore.
A visit to Three Arrows’ Singapore office found it had been abandoned, lawyers representing the creditors said in court documents filed in New York. In addition, when the two founders had a Zoom conference call with the liquidation consultant, the camera and voice were turned off, and they did not say a word. Lawyers answered questions and showed an uncooperative attitude.
The liquidator also said that because they did not know the current location of Su Zhu and Kyle Davies, they were worried that the two founders would diversify the assets of Three Arrows Capital, which would be detrimental to creditors. In particular, the assets of Three Arrows Capital include cash, cryptocurrencies and NFTs. Extremely fluid.
As the founder of Three Arrows Capital was accused of not cooperating with the liquidation process, a New York court in the United States has approved the holding of an emergency hearing of Three Arrows Capital’s creditors, which is scheduled to be held on July 12, local time. At present, the NFT of Starry Night, an NFT fund under Three Arrows Capital, has been transferred to a new wallet for unknown reasons.
On the other hand, creditors are seeking to freeze the assets of Three Arrows, asking the court to force the founders of Three Arrows to disclose all the assets held by the fund.
Notably, the court filings also list Su Zhu and Kyle Davies’ wife Kelly Kaili Chen as company creditors, meaning they could potentially be compensated before others.
According to Su Zhu’s Twitter profile and the news that Three Arrows Capital plans to relocate its headquarters from Singapore to Dubai, coupled with the news that Su Zhu was earlier revealed to be in a hurry to sell his $35 million Singapore mansion in Singapore, and will The proceeds were remitted to a Dubai bank, so many speculated that the two were currently in Dubai.
The Information Presented Here Does Not Constitute Investment Advice Or An Offer To Invest. The Statements, Views, And Opinions Expressed In This Article Are Solely Those Of The Author/company And Do Not Represent Those Of Coinworldstory. We Strongly Advise Our Readers To Do Your Own Research (DYOR) Before Investing In Any Cryptocurrency, Blockchain Project, Or Ico, Particularly Those That Guarantee Profits. Furthermore, Coinworldstory Does Not Guarantee Or Imply That The Cryptocurrencies Or Projects Published Are Legal In Any Specific Reader’s Location. It Is The Reader’s Responsibility To Know The Laws Regarding Cryptocurrencies And Icos In His Or Her Country. Please Respect Your Country Law & Take Advice From Your Advisor .