Compilation: Blockchain Knight
The collapse of hedge fund Three Arrows Capital (3AC) has the latest developments.A court issued a $1.14 billion order to the co-founder of the fund. Global Asset Freeze Order.
The order, issued by a court in the British Virgin Islands, is part of the liquidator's efforts to recover the fund's assets and provide returns to creditors.
According to "Barron's", the freezing order affects co-founders Su Zhu, Kyle Davies and Davies' wife Kelly Chen.
3AC filed for bankruptcy last year because the assets it invested in were sold off in large quantities, causing the price of Crypto assets to plummet and causing heavy losses.
The unfortunate experience of 3AC’s bankruptcy also triggered a series of related legal proceedings. The court appointed a liquidator to follow up on its bankruptcy proceedings.
Liquidator Teneo announced that the British Virgin Islands Court has issued an asset freezing order against the co-founder of 3AC. The freeze order prohibits them from handling, including transferring or selling, assets with a total value of no more than $1.144 billion.
This freezing order aims to protect the security of assets and send a clear message to counterparties and related parties about their legal obligations and related risks.
The report said that the inclusion of Davies’ wife Kelly Chen in the asset freezing order marks an expansion of the liquidator’s efforts to recover the fund’s assets.
The liquidators hope to increase their chances of recovering funds owed to creditors by extending the freeze to assets held by Davies' wife.
Liquidators have encountered challenges in trying to recover 3AC’s assets. They accused Su Zhu and Kyle Davies of refusing to cooperate and failing to proactively provide important information.
Su Zhu was arrested while trying to leave Singapore at the end of September and was released on Wednesday after serving her sentence.
At the same time, Teneo's joint liquidators Crumpler and Farmer estimated that creditors are expected to receive 45.74% of their claims from the bankruptcy estate. The first distribution is planned for the first quarter of next year, marking progress in the liquidation process.
According to The Block, as of December 18, 3AC’s assets were valued at US$1.16 billion, and claims worth US$2.7 billion were also expected to be confirmed and distributed.
Teneo emphasized that lawsuits against several parties, including DCG, Genesis and BlockFi, have been resolved, contributing an estimated $292 million to reported assets. However, the settlement with BlockFi is still pending approval.
A total of 154 claims were filed against 3AC properties, with a total value of $3.4 billion.
Notably, $200 million of claims were not accepted for allocation and $322 million of claims were dismissed or expected to be dismissed.
In addition, claims worth $76 million are still in dispute, which adds to the complexity of the liquidation process.
The dispute between BlockFi and 3AC over lending led to a New Jersey bankruptcy court's intervention, causing widespread repercussions and signaling an end to crypto lending and hedge funds.
Brian"It's a very magical feeling, you feel a blood connection to your ancestors, and that's how I should live."
JinseFinanceGolden Weekly is a weekly blockchain industry summary column launched by Golden Finance. The content covers key news of the week, mining information, project trends, technology progress and other industry trends.
JinseFinanceAmid bankruptcy proceedings, Singapore's Three Arrows Capital sees founders Su Zhu and Kyle Davies confronting a major setback, with a British Virgin Islands court freezing over a billion dollars in assets.
Hui XinBritish and Singapore courts have frozen over $1 billion in assets of Three Arrows Capital's founders amid ongoing legal struggles and a broader crypto market downturn.
AlexOn September 29, the liquidators observed a vehicle departing from the mansion, bound for Singapore's Changi Airport, prompting them to report their suspicions regarding Zhu Su's presence.
SamanthaCrypto hedge fund founders Zhu and Davies arrested in Singapore for non-cooperation with creditors.
BrianIdentifying the Best Early Stage Venture Funds in Crypto Today
StratosOn July 13, the New York court froze the remaining assets of Three Arrows Capital in the United States. Judge Martin Glenn of the Southern District of New York approved the emergency motion at a court hearing on Tuesday.
链向资讯DeFi market saw a sharp decline in its TVL, falling over $25 billion from the last week due to sell-off pressure created by the bear market.
Cointelegraph