One of the altcoin wallets associated with the currently struggling cryptocurrency hedge firm Three Arrows Capital has transferred funds for the first time in nearly ten days. Here are the details…
Mobility in Three Arrows Capital wallet: They pulled these altcoin projects
According to Etherscan and Nansen, the embattled crypto hedge fund has withdrawn 200 Bitcoins (BTC), $4 million worth of Tether (USDT), and $4 million Wrapped Ethereum (wETH) from another DeFi platform, Convex. The wallet has sent close to 25,000 worth of Ethereum (ETH) to three OKX wallets in the last three hours. Since declaring bankruptcy in July, the wallet address has never reported more significant transactions.
As we reported on Kriptokoin.com, in July Three Arrows Capital declared bankruptcy after suffering losses due to the death of TerraUSD, an algorithmic stablecoin. Three Arrows pledged $200 million in the $1 billion sale of Luna, TerraUSD’s sister coin. That money went to the Luna Foundation Guard, an asset reserve that aims to support the pegging of TerraUSD to the US dollar. Immediately after the collapse of TerraUSD and Luna, the hedge fund’s assets disappeared.
The reason behind Three Arrows’ withdrawals is unclear. Issued by staking pools like Lido Finance in exchange for ETH, StETH is available for ETH six to twelve months after the Ethereum network transitions from PoW to PoS. Meanwhile, Three Arrows Capital’s portfolio is known to have cryptocurrencies such as NEAR, AVAX, DOT, UNI, COMP, SNX, YFI, BAL, WOO, HXRO, PERP, DODO, ROOK, MTA, DHT and KNC.
Liquidators get approval in Singapore
On August 24, New York City received a landmark court order in Teneo, Singapore that allowed Three Arrow to look after their local assets there. Teneo was responsible for at least $40 million of the company’s assets at the time. Three Arrows founders, Su Zhu and Kyle Davies, will not be able to sell their Singapore assets, according to the court order. But if a British Virgin Islands court orders it, it can also liquidate wETH, Bitcoin and USDT as part of the liquidation process.
A Singapore court granted 3AC’s liquidators, Teneo, access to the company’s financial records in August to learn more about the whereabouts and availability of unclaimed funds. The remaining assets of the hedge fund may include some of these crypto assets that were previously used to provide liquidity.
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