On Wednesday, it was reported that crypto hedge fund Three Arrows Capital (3AC) was liquidated by a British Virgin Islands court, and following the alleged liquidation, the Monetary Authority of Singapore ( MAS reprimanded 3AC for misleading regulators. In addition, Singapore liquidators are reportedly attempting to seize properties owned by 3AC co-founder Su Zhu and his wife.
Singapore Financial Management Authority accuses 3AC of misleading regulators and exceeding AUM limits
troubled crypto hedge fund(Three Arrows Capital Limitedaka 3AC) appears to be facing problems from Singapore regulators; since 2012, 3AC was a well-known crypto hedge fund started by two former Credit Suisse traders – Su Zhuand. Kyle Davies, but after considerable success, 3AC is said to have invested heavily in Terra’s LUNA after Zhu claimed the crypto company “didn’t want to get blown up during the super cycle”. one issue 3AC dealt with was that supposedly was a $200 million locked-in Luna Classic (LUNC) investment that is now worth less than $1K.
– Gabriel Haines.eth (@gabrielhaines) . june 30, 2022
speculation that “LUNC’s” huge losses led them to use more leverage to get it back There is – also known as “revenge trading,” one accountexplained on June 16Two weeks ago, The Block’s Frank Chaparro cited sources claiming that crypto hedge fund 3AC was liquidated for $400 million. A report published the same week indicated that 3AC was also liquidated by Bitmex, Deribit, Bitfinex, and possibly FTX. Sources indicated two days ago that a British Virgin Islands (BVI) court also liquidated the hedge fund’s assets, but sources did not specify what type of assets were allegedly seized.
After the ostensible BVI liquidation notice, the Monetary Authority of Singapore (MAS) issued apress releasestating that 3AC had misled regulators. “The Monetary Authority of Singapore (MAS) today issued a reprimand to Three Arrows Capital Pte. (3AC) reprimanded for providing false information to the MAS and exceeding the Assets Under Management (AUM) threshold allowed for Registered Fund Management Companies (RFMC),” the press release stated.The MAS violation notice stated that the regulator is investigating 3AC’s violations “since June 2021.” It noted.
3AC is also accused of violating MAS’s Assets Under Management (AUM) threshold.” The Singapore regulator detailed that 3AC “exceeded the RFMC’s allowable AUM of S$250 million between July to September 2020 and November 2020 to August 2021.” “In light of recent developments questioning the solvency of funds managed by ‘3AC’, MAS is assessing whether there have been further violations of MAS regulations by ‘3AC’,” the MAS official added.”
Local reports claimed that liquidators are considering seizing Su Zhu’s $1 million bungalow
In addition, local reportsfrom Singapore claim that the liquidators are “rumored” to be eyeing 3AC’s home and other properties in the country. Cecilia Chow, a reporter for the publication Edgeprop, detailed that between 2019 and 2021, Su Zhu purchased three bungalows in Singapore at a documented cost of about $83.55 million.
The Singapore properties are also reportedly in Zhu’s name and his wife’s name; in December, Zhu and his wife purchased a 31,863-square-foot home called “Good Class Bungalow (GCB).” According to Chau’s report, the GCB property was placed in trust for one ofHe notes that it was placed in trust for Zhu’s daughter
Chow further detailed that Zhu’s wife owns a $28.5 million bungalow located near the botanical gardens on Dalvey Road in Singapore. The property was acquired in September 2020, and the reporter notes that it is “currently under construction. “Edgeprop’s report claims that 3AC and its associates together own “five high-end properties.”
Chau further states that 3AC team members own an entire fleet of “luxury cars and yachts. “Fatman, a well-known Terra whistleblower, has shared information about alleged liquidators in Singapore. In addition, Fatmanclaimsto have heard from sources that Su Zhu is desperately trying to sell one of his million-dollar homes in Singapore.
“Confirmed sources have confirmed that Su Zhu is urgently trying to sell his $35 million house in Singapore which is currently held in his (daughter’s) trust,” Fatman tweeted.” He has requested that the funds be transferred to a bank account in Dubai and does not intend to pay his creditors with the proceeds of the sale.”
Additionally, apost on social mediashows that Zhu once claimed that 100,000 ether was “dust” to him.” Today he is selling 10 USDC and trying to pay off his debt after his $200 (billion) fund collapsed. The market always humbles those who are too arrogant,” explained the individual who published the social media post. ‘Today he is sending all (remaining) balances from his wallet to CEX so he can get as much money as possible. He just transferred 10 USDC, 3.98 AAVE ($200), 138 SUSHI, 0.1 YFI, 2.5 COMP ($75) and other actual ‘dust’ to various [centralized] exchanges,” this individual added.
Meanwhile, Zhu has nottweetedsince June 14, 2022. However, Zhu has changed his Twitter profilePreviously, the 3AC co-founder saidthat he was “investing inBTC, invested in ETH, AVAX, LUNA, SOL, NEAR, MINA, DOT, [and] KSM,” he said. Today,Zhu’s Twitter profilesays only “Bitcoin,” in addition to associations with Deribit, Defiance Capital, and Starry Night Capital, without the aforementioned crypto assets.
What do you think about the recent MAS press release and the story that the liquidators are trying to seize Su Zhu’s properties in Singapore? Let us know what you think about this subject in the comments section below.
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