Cryptocurrency hedge fund Three Arrows Capital has fallen into liquidation in the latest sign of the “crypto winter” hitting digital assets worldwide.
Crypto broker Voyager Digital issued Singapore-based Three Arrows with a default notice on Monday after it failed to make payments on a loan of 15,250 bitcoins ($324 million) and $350 million worth of USD Coin, a stablecoin.
The broker said it intended to pursue recovery from Three Arrows Capital and was in discussions with its legal advisers concerning the legal remedies available.
A British Virgin Islands court order also dated on Monday ordered the Three Arrows into liquidation. Consultancy firm Teneo has been appointed as liquidators.
Bitcoin has plunged some 37% in June and was trading at about $20,000 on Wednesday, compared with its all-time high of $69,000 in November 2021.
News of the Three Arrows Capital liquidation was first reported by broadcaster Sky on Wednesday.
On June 15, its co-founder sought to address liquidation rumours in a tweet, saying the company was “fully committed to working this out”, without going into further detail.
- Reuters, with additional editing by George Russell
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