– Su Zhu, co-founder of Three Arrows Capital (3AC), was apprehended at Singapore’s Changi International Airport while attempting to flee the country.
– Singaporean courts issued an arrest warrant for Zhu due to his failure to comply with a court order to cooperate with the liquidator’s investigations.
– Zhu was sentenced to four months in prison for the breach, and creditors plan to engage with him on matters relating to 3AC and the recovery of assets.
– Kyle Davies, 3AC’s co-founder, was also sentenced to four months imprisonment for contempt of court, but his current whereabouts are unknown.
– The Monetary Authority of Singapore barred both Zhu and Davies from conducting enterprise investment activity in the city-state for nine years due to regulatory violations.
– 3AC filed for bankruptcy in July 2022 after failed leveraged trades on the Terra ecosystem, leaving creditors with over $3.5 billion in claims.
– Zhu and Davies had embarked on alternative entrepreneurial ventures after the collapse of 3AC, such as opening a restaurant and converting a property into an eco-farm.
– OPNX, a novel exchange founded by Zhu and Davies, experienced a significant drop in value following the news of their arrest and indictment.
– OPNX had onboarded tokenized claims of FTX and Celsius, but its claims dashboard remains dysfunctional.
– 3AC Ventures, a venture capital fund created by Zhu and Davies, appeared to be doing well prior to Zhu’s arrest.
– Creditors are focused on recovering the assets of 3AC and maximizing returns for its creditors, including former 3AC assets used to create new entities.
– Teneo, the appointed liquidator for 3AC, has recovered several nonfungible tokens owned by 3AC and auctioned them via Sotheby’s. The proceedings are ongoing.
