Join the most important conversation in crypto and Web3 taking place in Austin, Texas, April 26-28. The founders of insolvent crypto hedge fund Three Arrows Capital, Su Zhu and Kyle Davies, have broken their silence in an interview with Bloomberg.
Is three arrows capital liquidating crypto?
A vague tweet by a founder of Three Arrows Capital, an influential hedge fund that has been liquidating crypto holdings as prices plummeted, is stirring fresh apprehension in an already shaken industry.
How did Zhu & Davies start three arrows capital?
In 2012, while both were temporarily living in San Francisco, Zhu and Davies pooled their savings and borrowed money from their parents to scrape together about $1 million in seed funds for Three Arrows Capital.
Why did three arrows capital fail in January 2022?
That’s where Three Arrows Capital found itself by the middle of January 2022, and it was poorly equipped to weather it. The GBTC position ate an ever-larger hole in 3AC’s balance sheet, and much of its capital was tied up in restricted shares in smaller crypto projects. Other arbitrage opportunities had dried up.
