Crypto hedge fund Three Arrows Capital has removed $33 million worth of altcoins from the Curve pool.
The removal of liquidity was the first activity from the wallet in 10 days.
3AC pulls million-dollar altcoins from Curve pool
A wallet owned by bankrupt crypto hedge fund Three Arrows Capital has removed $33 million worth of stETH from the Curve pool. The Singapore-based fund, which filed for bankruptcy in July, also removed 200 Bitcoin (BTC), $4 million Tether (USDT) and $4 million Wrapped Ethereum (wETH) liquidity from Convex, a platform that increases rewards for Curve. Three Arrows Capital’s basket includes 16 altcoins, mainly NEAR, AVAX and AAVE.
3AC was one of the crypto companies that went bankrupt in the bear market
Labeled by Nansen as owned by Three Arrows Capital, the wallet has been inactive for 10 days since it opened the $9 million bundled stETH. Meanwhile, 3AC was one of the few firms to crash in this year’s crypto bear market. It owes its creditors $2.8 billion, according to a court filing released in July by advisory Teneo, following a series of highly leveraged transactions involving the Terra (LUNA) network that collapsed in May.
New York-based Teneo received a landmark court order in Singapore on August 24 that allowed Three Arrow to investigate their local presence there. At the time, Teneo held control of at least $40 million of the firm’s assets. cryptocoin.comAs we have quoted, the company currently does not have sufficient funds to cover its debts.
Timeline of the Terra collapse
The Terra network and its leader, Do Kwon, have risen to the highest level in the crypto world thanks to big investors. However, it disbanded within a few days in May 2022.
- On May 7, the UST price of $18 billion, which should have been stable at $1, began to falter.
- It then dropped to $0.35 on May 9.
- To offset the price of the UST, the LUNA has slid from $80 to just under $0 by May 12.
- After the collapse of the IHR on 10 May, allegations began to emerge that it was caused by a Soros-like attack.
- On May 11, more than half of investors, 58%, placed futures bets on higher LUNA prices despite Tuesday’s drop, leading to a $63 million liquidation.
- Later, the LUNA price reached the price levels seen earlier in August 2021. The value locked in Terra’s largest DeFi protocol, Anchor, has dropped $11 billion in two days.
- Also on May 11, Do Kwon’s past failures were revealed. The founder turned out to be one of the partners behind the failed algorithmic stablecoin Basis Cash
- On May 12, the LUNA price fell 96% in one day to just under $0.10.
- On May 16, founder Do Kwon offered a new fork.
- Terra 2.0 was released on May 28, followed by the LUNA airdrop.
