YEREVAN (CoinChapter.com) — Kyle Davies, co-founder of the now-closed Three Arrows Capital (3AC), harbors no regrets over the crypto hedge fund’s bankruptcy, he claimed during an appearance on the Unchained Podcast on March 19.
“Am I sorry for a company going bankrupt? No, like companies go bankrupt, almost every company goes bankrupt, right?” Davies said, adding:
“It’s how you build or what you do about it. We’re definitely trying our best. We can add value in various ways. At a minimum, we can even tell the next Three Arrows how to do things better when they go bankrupt.”
Three Arrows Capital’s Journey in the 2022 Crypto Crash
Kyle Davies and Su Zhu launched Three Arrows in 2012, but the company hit a major setback during the crypto market downturn in mid-2022. This crash triggered the start of 3AC’s insolvency proceedings, beginning in the British Virgin Islands and eventually spreading to Singapore and the U.S.
In September 2023, Su Zhu was detained at Singapore’s airport, facing charges for not cooperating in the liquidation of 3AC, and he was sentenced to four months in jail. However, Zhu got an early release in December 2023 thanks to good behavior provisions.
Kyle Davies shared that both he and Zhu were unaware of a scheduled court date. “Why would Zhu even enter Singapore if we knew?” he said. Their lack of attendance was interpreted as contempt of court, leading to Zhu’s arrest, Davies explained.
When questioned about whether he had dismissed his legal team for not alerting him to the court date, Davies mused, “Maybe we should consider letting our lawyers go for that oversight.” Davies, who gave up his U.S. citizenship for Singaporean nationality, hasn’t been back to Singapore to confront the same four-month sentence Zhu dealt with. He mentioned he won’t be returning to Singapore “right away” but added, “Obviously, these situations eventually find a resolution, often through settlements.”
In the interview, Davies also mentioned he sees no reason why he couldn’t go back to the U.S., where his family lives, though he hasn’t made the trip back yet. He shared that he’s currently “in Europe” but stopped short of confirming whether he’s in Portugal, despite previously mentioning this to New York Magazine.
From OPNX’s Shutdown to $LAMB’s Launch
Back in April 2023, while in Dubai, the founders of 3AC started OPNX, a platform for trading bankruptcy claims. But within just a month, they faced a setback when Dubai’s crypto authorities called them out for running an exchange without the necessary approval. By February 2024, the journey of OPNX came to an end as the platform was closed down.
Yet, with the crypto market currently on an upswing, OPNX appears to have made a comeback, this time rebranded as $LAMB.