Two days ago, Bitcoin.com News reported on the crypto hedge fund Three Arrows Capital (3AC) after reports claimed that the company was allegedly struggling with financial hardship and possible insolvency. Now the crypto firm Finblox is feeling the effects of 3AC’s troubles, and a few digital currency companies have liquidated the hedge fund’s leveraged positions.
3AC’s Treasury Management. 3AC gave an 8% APR guarantee on the treasury. So protocols would park the funds raised by 3AC + additional parts of their treasury. The protocols felt safe because well…it’s 3AC. Protocol X has mentioned that the ghosting is real. They’ve talked to two other protocols who also mentioned that they’re being ghosted too by them. 3AC now holds part of their treasury, and they have no idea what’s the state of their cash.
The same report published by The Block notes that the editorial’s author contacted both FTX and Bitfinex about 3AC dealings as well. FTX told The Block author Yogita Khatri that they do not comment on their customers, and Bitfinex explained that it “had closed its positions at a loss without having to be liquidated,” Khatri’s report details. According to the Bitfinex statement, 3AC has removed all of its funds from the company’s exchange. Since the rumors and speculation started to swirl around 3AC’s business dealings, so far, the public has only heard from the company’s co-founder Su Zhu once on Twitter.
What do you think about the alleged financial issues surrounding the crypto hedge fund 3AC during the last week? Let us know what you think about this subject in the comments section below.
