A British Virgin Islands court has issued a freeze on assets belonging to the founders of Three Arrows Capital (3AC), a major crypto firm. The court order, which follows a similar move by the Singapore Court, effectively locks out over $1.1 billion of assets from 3AC co-founders Su Zhu and Kyle Davies, as well as Davies’ wife Kelly Chen.
The freeze on assets is in connection with claims made by the liquidators, who allege that the founders should be held responsible for causing 3AC’s financial position to deteriorate by an amount equivalent to the value of the freezing orders sought. Teneo, the assigned liquidator for 3AC, has previously accused Three Arrows of failing to cooperate meaningfully in the liquidation process.
According to Teneo, 3AC owes approximately $3.3 billion to creditors. The hedge fund filed for bankruptcy in the British Virgin Islands after receiving nine-year prohibition orders from the Monetary Authority of Singapore, following Zhu’s arrest at Singapore’s Changi Airport in September.
Last week, Teneo confirmed that court proceedings in the British Virgin Islands had progressed, resulting in the release of Zhu based on standard provisions for good behavior. However, Davies remains at large despite having received an imprisonment and committal order.
Three Arrows Capital is one of several major crypto firms that have been affected by industry implosions, leading to bankruptcy filings and corporate collapse. Other affected companies include FTX, Voyager Digital, Genesis, and Celsius.
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | Asia |
| Countries | 🇻🇬 🇸🇬 |
| Sentiment | neutral |
| Relevance Score | 1 |
| People | Su Zhu, Kelly Chen, Kyle Davies |
| Companies | FTX, Genesis, Voyager Digital, None, Celsius |
| Currencies | None |
| Securities | None |
