Three Arrows Capital Seeks Salvation in US, Files for Chapter 15 Bankruptcy
Cryptocurrency hedge fund Three Arrows Capital (3AC) is trying to find salvation from its creditors in the US as the fund has filed a petition under Chapter 15 of the US Bankruptcy Code.
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According to court documents, the law firm Latham & Watkins — which represents the Singapore-based fund — filed the petition in the US Bankruptcy Court for the Southern District of New York.
The move comes shortly after a court in the British Virgin Islands ordered the liquidation of 3AC as the fund failed to repay required hundreds of millions of dollars to its creditors.
Singapore’s Financial Regulator Clamps Down on Three Arrows Capital
Earlier in June, Voyager Digital said that Three Arrows Capital failed to repay 15,250 BTC and $350 million in USDC. In an interview with Forbes, FTX Founder and CEO, Sam Bankman-Fried (who’s also the largest shareholder of Voyager Digital), said that some companies have gone too far «and it’s not practical to backstop them.»
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