Three Arrows Capital Defaults
- Market Structure
Three Arrows Capital (3AC) was a Singapore-based cryptocurrency hedge fund founded by Kyle Davies and Su Zhu that collapsed in June 2022 after failing to meet large margin calls amid the broader crypto market downturn — particularly losses tied to Terra/LUNA and other leveraged positions. A court in the British Virgin Islands ordered the firm into liquidation on June 27, 2022, and it subsequently filed for Chapter 15 bankruptcy in the U.S., owing around $3.5 billion to creditors including major lenders like Genesis and Voyager.
Incident Details
- Type
- LEVERAGE COLLAPSE
- Funds Lost
- $3.5B
- Status
- Ongoing
Founders fled Singapore; creditors pursuing billions in claims.