A wallet linked to Three Arrows Capital has removed $33 million in stETH from Curve’s liquidity farming pool. This is the wallet’s first activity in 10 days.
One of the wallets affiliated with the struggling cryptocurrency hedge fund, Three Arrows Capital, has transferred funds for the first time in around 10 days. According to on-chain data, the address took $33 million in stETH (staked ETH) from the Curve liquidity pool, as well as about $2 million in BTC. Nansen has identified the wallet as belonging to Three Arrows Capital, and it has been dormant for 10 days since it unwrapped $9 million in wrapped stETH.
The Singapore-based firm, which declared bankruptcy in July, also removed 200 Bitcoins (BTC), $4 million in tether (USDT), and $4 million in wrapped ether (wETH) from Convex, a platform that increases compensation for Curve stakeholders and liquidity providers.
Three Arrows Capital in Turmoil
Three Arrows Capital was one of the companies that went bankrupt during this year’s cryptocurrency bear market. According to a court statement issued in July by its liquidator Teneo, it owes its creditors $2.8 billion as a result of a series of highly leveraged deals in relation to the Terra (LUNA) network, which failed in May.
Based in New York On August 24, Teneo obtained an important court judgment in Singapore that authorizes it to investigate Three Arrow’s local assets. Teneo controlled at least $40 million of the firm’s assets at the time.
3AC, co-founded by Zhu Su and Kyle Davies, is one of the most prominent crypto hedge funds (which focus on investments in digital assets like cryptocurrencies) around and was known for its highly leveraged bets. But a slump in digital currency prices, which has seen billions of dollars wiped off the market in recent weeks, has hurt 3AC and exposed a liquidity crisis at the company.