A British Virgin Islands court has ordered the liquidation of hedge fund Three Arrows Capital (3AC). This was reported by Sky News, citing knowledgeable sources.

According to them, the partners of the consulting company Teneo Restructuring were involved in the consideration of the organization’s bankruptcy case. 3AC has not yet commented on the information.

According to open data, Three Arrows Capital, Ltd is registered in the Virgin Islands. Singapore is listed as the head office address.

In May 2022, 3AC co-founder Su Zhu announced plans to relocate the foundation’s headquarters to Dubai. Among the reasons, he cited a more favorable regulatory environment.

However, in June the representative DFSA announced that the hedge fund does not have a license to operate in the emirate.

In June, against the background of the collapse of the cryptocurrency market, rumors of the bankruptcy of Three Arrows Capital appeared. Trading firm 8 Blocks Capital accused the hedge fund of using client funds to cover margin calls.

According to some reports, cryptocurrency platforms BitMEX, FTX and Deribit have liquidated their 3AC positions due to the latter’s failure to meet margin requirements.

On June 17, hedge fund co-founder Kyle Davis said Three Arrows Capital has hired legal and financial advisors to find a solution for its investors and lenders.

As a reminder, on June 27, crypto broker Voyager Digital sent 3AC a notice of default due to non-payment of a loan.

Read ForkLog bitcoin news in our Telegram – cryptocurrency news, courses and analysis.