3AC Ventures, the new partner of the Open Exchange (OPNX) ecosystem announced on June 21, marks a pivotal step towards a decentralized future in the field of trading claims against bankrupt crypto entities.
By investing in projects that contribute to the OPNX ecosystem and foster a decentralized future, this partnership promises to drive innovation and reshape the way we perceive and interact with digital assets.
However, given 3AC’s turbulent history, it raises the question of whether investors will still trust the platform founded by Su Zhu and Kyle Davies, the mastermind behind the now-bankrupt Singaporean hedge fund Three Arrows Capital.
The controversy surrounding the 3AC Ventures partnership
Launched in April, OPNX saw the start of limited trading activity in its early days. However, since then the exchange has seen significant growth, with average daily volume of over $30 million.
Expanding its reach and influence, OPNX introduced its native token, OX, on May 31, achieving a fully diluted market capitalization of over $300 million.
Despite its recent success, OPNX has faced criticism and Negative feedback on Twitter When it announced its partnership with 3AC Ventures. This suspicion stems from the projects firm’s association with Zhu and Davies. Responses on social media included offensive memes and derogatory comments.
Holy shit this is a real tweet
– LilMoonLambo (@LilMoonLambo) June 21, 2023
But OPNX seems steadfast in its mission. The Company asserts that its claims product, Launched earlier this month, offering a solution and a safe haven for individuals adversely affected by cryptocurrency crises. Claimants can instantly unlock their frozen claims and convert them into cryptocurrency or use them as margin capital within the platform.
in response to the ad, Davis wrote on Twitter, “3AC is dead, long live 3AC Ventures.” The company’s landing page displays the message, “3AC Ventures Focuses on Superior Risk-Adjusted Returns Without Leverage,” and provides an email connection to users.
3AC is dead, 3AC Ventures lives on https://t.co/61s8uQquOZ
– Kyle Davis (KyleLDavies) June 21, 2023
Three Arrow Bankruptcies and the Uncertain Whereabouts of Davis and Chu
in June 2022, Three Arrows faced financial collapse and filed for bankruptcy in the British Virgin Islands. This unfortunate turn of events resulted from a series of ill-fated leveraged deals amidst a bear market in the cryptocurrency industry.
Additionally, 3AC suffered its exposure to the $40 billion Terra Luna ecosystem crash in May 2022. After filing for bankruptcy, both Davies and Zhu, the brains behind 3AC, appear to have disappeared.
While their exact locations remain unknown, there has been speculation that Davies is spending his time in Dubai, while Cho is believed to be in Indonesia.
During her tenure, the company has reportedly managed a staggering $10 billion in assets. However, as the company ran into financial troubles, it collected creditors’ claims amounting to $3.4 billion.
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