- Three Arrow Capital announced on Twitter that they are launching a new cryptocurrency exchange to atone for their past mistakes
- The founders of 3AC and Coinflex had been looking out for raising $25 million to start their exchange and somehow they managed to pull it off
The world of cryptocurrency shook to the core when major industry giants such as Terraform, Voyager, and 3AC turned into dust within hours.
The impact was so immense that it wiped off over $40 billion in the industry and became the reason for a lasting crypto winter.
Despite creating utter chaos in the industry, the founders of Three Arrow Capital announced on Twitter that they are launching a new cryptocurrency exchange ‘to atone for their past mistakes’. This declaration was not welcomed at all by the crypto community which explicitly expressed its disappointment with the investors who funded the project.
The founders of 3AC and Coinflex had been looking out for raising $25 million to start their exchange and somehow they managed to pull it off. However, Arthur Hayes, co-founder of BitMEX said that if ‘these muppets get money’ even after a massive collapse, it must be a sign of an upcoming bull market.
Why Did Three Arrow Capital Collapse?
In the aftershocks of the Terra-LUNA crash, the crypto market lost 45 percent of its market capitalization and created a chain reaction in the industry. As the fire reached 3AC, it could not meet its margin calls for the money that it had borrowed from Voyager Digital. Soon enough Voyager filed for bankruptcy and blamed 3AC’s inability to return $665 million to the fund behind its collapse. With this, over 27 companies were affected costing around $3 billion in damage.
When the collapse of the 3AC surfaced the social media, its co-founders vanished from the public eye and all social media platforms. The lack of any answerability from any project enraged its stakeholders and they have good reasons to boycott their upcoming venture.
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