Coinbase downgraded, 3AC deemed insolvent and Michael Saylor buys the dip

Coinbase has long been considered an important bellwether of the cryptocurrency market. Last year, when the company was expanding its workforce, adding institutional clients and issuing stock, crypto prices were hitting record highs. Now, in the depths of crypto winter, Coinbase finds itself slashing a fifth of its workforce, losing retail trading volume and contending with downgrades of its credit and stock. This week’s Crypto Biz dissects Goldman Sachs’ latest downgrade of Coinbase and also looks at the latest developments surrounding Three Arrows Capital. Goldman Sachs downgrades Coinbase stock to…

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Voyager Digital freezes trading, deposits, withdrawals and rewards, blames 3AC default

Cryptocurrency exchange Voyager Digital announced Friday that it was temporarily suspending trading, deposits, withdrawals and loyalty rewards. “The failure of a borrower, Three Arrows Capital, to repay a substantial loan from us makes this the right path forward,” Voyager Digital CEO Stephen Ehrlich said on Twitter soon after the service suspension went into effect.  “This decision, while far from optimal, will give us time to work to strengthen our balance sheet, a necessary condition to protect assets and preserve the future of the Voyager platform we have built together,” Ehrlich…

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Singapore reprimands 3AC for providing false information

The Monetary Authority of Singapore (MAS) has reprimanded Three Arrows Capital (3AC), a battled hedge fund, for providing inaccurate information to the authorities. In a statement published Thursday, the MAS said that the firm violated capital requirements by having assets under management in excess of the permitted amount. When 3AC was registered as a fund management company in Singapore in 2013, it was allowed to manage funds for up to 30 investors worth up to $180 million. The fund had previously informed MAS that it was changing its management to…

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British Virgin Islands court reportedly orders to liquidate 3AC

Troubled cryptocurrency venture capital firm Three Arrows Capital (3AC) is facing more uncertainty amid new reports on the company’s liquidation. A court in the British Virgin Islands on June 27 ordered the liquidation of Singapore-based 3AC, the British news agency Sky News reported on Wednesday. The information in the report refers to an unspecified person familiar with the matter. Three Arrows Capital did not immediately respond to Cointelegraph’s request for comment. Three Arrows Capital, also known as 3AC, is a Singaporean crypto hedge fund founded in 2012 by Kyle Davies…

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Voyager enters into $500M loan agreement with Alameda amid 3AC exposure

Trading platform Voyager Digital takes a loan from trading firm Alameda Research because of its exposure to crypto venture capital firm Three Arrows Capital (3AC).  In a press release by Voyager Digital, the firm announced that it has borrowed 15,000 Bitcoin (BTC) from Alameda to cover the losses that came from its exposure to the 3AC contagion. Voyager also noted that the company might issue a notice of default to 3AC if they fail to pay its loans from Voyager. The firm revealed that 3AC owes the Voyager 15,250 BTC…

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Three Arrows Capital (3AC) Liquidated for Millions as It Fails to Meet Margin Calls

The latest development around venture firm Three Arrows Capital (3AC) is that it has reportedly failed to meet margin calls from lenders. This has once again brought up the potential risk of the firm going into insolvency after it was severely hit by the crypto market meltdown earlier in the week. The report also cited that BlockFi, a crypto lender, was one of several companies that liquidated some of Three Arrows Capital’s positions. The speculations surrounding the company continue to gather momentum after several sources revealed that the company is…

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Liquidity provider asks platforms to freeze 3AC funds to recover assets after litigation

Danny Yuan, the CEO of trading firm 8 Blocks Capital, called out to platforms that are holding funds owned by 3AC to freeze the assets, as rumors of 3AC’s insolvency stay afloat.  In a Twitter thread, Yuan explained their company’s involvement with 3AC, noting that they are paying the company to use the trading accounts that they own. The agreement included the ability to withdraw funds at any given time. He explained that: “We had known them since 2018, thought they were competent and didn’t think they were degen enough…

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Su Zhu’s cryptic statement as rumors swirl of 3AC liquidations and insolvency

Su Zhu, the co-founder of Singapore-based crypto venture capital firm Three Arrows Capital (3AC) has put out a cryptic statement on Twitter in response to swirling rumors that the company is battling against insolvency. Online chatter about 3AC being unable to meet a margin call began after 3AC started moving assets around this week to top up funds on DeFi platforms such as AAVE to avoid potential liquidations amid the tanking price of Ether (ETH) this week. There are unconfirmed reports that 3AC faced liquidations totaling hundreds of millions from…

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