Liquidators aren’t aware of the whereabouts Su Zhu and Kyle Davies. Grayscale’s legal representative says that the lawsuit by the asset manager against the SEC may take some time to resolve.
There is no such thing “too big for crypto” because there are many factors that can cause a company to fail. Three Arrows Capital was once the most well-known hedge fund in the sector, but its founders believed too much and chose to go full degen mode in the worst macro environment of the generation. The founders, Kyle Davies and Su Zhu, have kept a low profile since the proverbial shit hit last month. According to court documents, their location is still a mystery.
This week’s Crypto Biz covers the latest developments around Three Arrows Capital and Grayscale’s legal proceedings against United States Securities and Exchange Commission.
3AC founders can be subpoenaed by liquidators despite the ‘tricky’ issues with crypto assets
Although we may not be able to find Kyle Davies or Su Zhu’s whereabouts, liquidators can subpoena the founders and officers of Three Arrows Capital (also known as 3AC). United States bankruptcy judge Martin Glenn gave permission for 3AC liquidators to request that the founders appear in court earlier this week. Zhu and Davies apparently have not been cooperating with liquidators. Zhu broke his almost one-month silence by claiming that the liquidators “baited” his company. That could be anything.
Grayscale legal officer claims that Bitcoin ETF litigation could be two years long
Grayscale’s search for a Bitcoin ( Bitcoin) exchange traded fund (ETF), could become more complicated when the asset manager begins to sue the SEC for denial of its latest application. Grayscale wants to make its GBTC product an ETF but the securities regulators won’t allow them due to “concerns” about manipulation in spot BTC markets. Grayscale’s chief lawyer Craig Salm said that the litigation process could last up to two years before an agreement is reached. The possibility exists that the SEC will decide to approve another spot Bitcoin ETF at that point.
Multicoin Capital raises $430M to fund a new crypto startup capital
Although crypto venture funding has been slowing in recent months, major companies are still raising serious capital. Multicoin Capital, a prominent investor, announced this week that it launched a $430 million fund in order to help startups and entrepreneurs start up crypto and blockchain projects. The new Venture Fund III, which will be allocated between $500,000 to $25 million to companies in the early stages of their development, will have a greater focus on creator economies, decentralized autonomous organizations and consumer-facing products. 2022 looks set to be the largest crypto funding year.
Playboy launches the first ‘MetaMansion’ in The Sandbox
The iconic lifestyle brand Playboy has entered the Metaverse – and it’s doing so with style. The company behind Dad’s favourite raunchy magazine, Playboy, has launched the first MetaMansion. This gives users access to a virtual version. You can visit the virtual property to participate in a variety of social and gaming events, and maybe even collect nonfungible tokens (NFTs). The MetaMansion is based on Playboy’s Rabbitar NFT Project, which is made up of 11,953 tokenized bunny avatars.
The cryptocurrency market could change dramatically after 2022. That’s either a good or bad thing. Investors are concerned about the future with companies such as Voyager Digital and Three Arrows Capital filing for bankruptcy. Are your crypto assets safe being stored on lending or exchange platforms? This week’s Market Report ,I spoke with Jordan Finneseth and Marcel Pechman, who discussed how the recent wave in bankruptcies would impact the market.
