Three Arrows Capital Ordered Into Liquidation by a Birtish Virgin Islands Court
29 Jun, 2022•1 min read•Other
The Singapore-based cryptocurrency hedge fund – Three Arrows Capital – has reportedly been ordered into liquidation following the downturn of the market and the challenges it faced recently.
According to Sky News coverage, a court in the British Virgin Islands has ordered Three Arrows Capital into liquidation. Citing sources familiar with the matter, the report argues that the “liquidation would be a significant moment in the current unraveling of the cryptocurrency sector, which has grown at breakneck speed in recent years.” At the time of this writing, the immediate financial implications for creditors of 3AC are unclear. As CryptoPotato reported earlier, one of the creditors is Voyager Digital. The company previously disclosed exposure to the extent of some $500 million to Three Arrows Capital and also stated that it’s “unable to assess the amount it will be able to recover.” Meanwhile, the broader cryptocurrency market took a beating on Wednesday and is down some $60 billion over the past 48 hours. At the time of this writing, BTC is trading at slightly above $20,000 in anticipation of important releases such as the GDP quarter-over-quarter for Q1, as well as the speech of the Chairman of the Federal Reserve – Jerome Powell, which is scheduled for later today.