From $10 billion to zero: How a crypto hedge fund collapsed and dragged many investors down with it

• • The bankruptcy filing from Three Arrows Capital (3AC) triggered a downward spiral that wrapped in many crypto investors.
  • The hedge fund failed to meet margin calls from its lenders.
  • “3AC was supposed to be the adult in the room,” said Nik Bhatia, professor of finance and business economics at the University of Southern California.

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Founders of bankrupt crypto hedge fund 3AC go missing, as investors try to recoup assets

• • Lawyers representing 3AC’s creditors say the physical whereabouts of Zhu Su and Kyle Davies are “currently unknown.”
  • The court filing from Friday also alleges that the founders have not yet begun to cooperate with the liquidation process “in any meaningful manner.”