Bitcoin News

Report: A British Virgin Islands Court Order Liquidates Crypto Firm Three Arrows Capital

A source familiar with the situation once again has information regarding a digital currency company that is in trouble and facing financial hardships. Sky News reports that Three Arrows Capital Ltd. was officially liquidated by a British Virgin Islands court.

Sky News author Mark Kleinman explains that it is not clear what the immediate financial consequences would be for Three Arrows creditors. News reported about the initial problems of the crypto hedge fund two weeks ago. Frank Chaparro, The Block’s editor, cited sources that indicated 3AC might have been liquidated at around $400 million.

Su Zhu, and Kyle Davies were the founders of 3AC. 3AC was founded in 2012 by Zhu and Davies.

Zhu did however tweet that 3AC was “in the process” of communicating with relevant parties on June 14th. 3AC is alleged to have significant exposure Terra’s token LUNC. stated that 3AC’s stash in locked luna classic (LUNC), worth approximately $200 million, was reduced to less than one thousand dollars.

Kleinman reported on June 29 that a British Virgin Islands court had officially liquidated 3AC assets. According to the report, the news outlet learned that Teneo in British Virgin Islands had been appointed as a partner in order to deal with the insolvency proceedings of the Singapore-based company.

Kleinman explained that the BVI court ordered news was the result of a “person familiar with the situation” and was filed on June 27, 2012. The journalist also reached out to 3AC to get comment on the court’s alleged liquidation orders. 3AC did not respond.