FTX, Deribit, and BitMEX crypto exchange liquidated Three Arrows Capital’s positions
According to The Block, this happened after 3AC failed to settle margin calls
17.06.2022 - 13:20
467
2 min
0
What’s new? Cryptocurrency exchanges FTX, Deribit, and BitMEX have liquidated Three Arrows Capital (3AC) fund’s positions. This happened after 3AC failed to settle margin calls, The Block reports citing sources. The fund reportedly owed BitMEX around $6 million, while the impact on the FTX and Deribit platforms was “tiny.” 3AC declined to comment.
Exchanges’ comments. A BitMEX spokesperson confirmed that the exchange had liquidated 3AC’s positions, but declined to comment on the amount owed. However, he added that this was collateralized debt with no customer funds involved.
Deribit’s CEO John Jansen declined to comment on the liquidation of the positions but confirmed that Three Arrows Capital has been a shareholder of the platform’s parent company since February 2020. He noted that even if none of the debts are paid off, this will not affect the financial stability and operation of the exchange.
An FTX spokesperson said that the exchange does not comment on individual customers or accounts “unless required by law.”
A spokesperson for Bitfinex, another exchange on which 3AC traded, said that the fund closed its positions at a loss without resorting to liquidation. 3AC withdrew all its funds from the platform and Bitfinex suffered no losses.
On June 16, Danny Yuan, CEO of 8BlocksCapital, a trading firm, said that Three Arrows Capital (3AC) stole $1 million from their accounts to increase their balance sheet to secure borrowed funds and avoid bankruptcy.
Three Arrows Capital is a well-known cryptocurrency hedge fund founded in Singapore in 2012. The fund invests in crypto, GameFi, and DeFi projects. One of these projects was Praxis, a crypto city-building startup.
Useful material?
Market
According to the founder of TRON, the leading US crypto exchange asked for several hundred million dollars for the listing of TRX
Nov 4, 2024
Incidents
The company conducted fictitious trading for six years to inflate the trading volume of tokens of several companies, receiving payment for these services
Nov 1, 2024
Market
1,5 million addresses have already left applications
Oct 31, 2024
Business
The company began investing in bitcoin in 2020, and since then, the value of its securities has risen by 1700%
Oct 30, 2024
Mining
The Deputy Energy Minister explained that in deficit regions, it is impossible to allocate large capacities for industry enterprises until 2030
Oct 30, 2024
Market
Customers will also be able to withdraw funds to bank accounts using cards
Oct 30, 2024