Media: 3AC liquidator to press claims against DCG and BlockFi for $1.2 billion

The liquidation firm Teneo, tasked with winding up Three Arrows Capital (3AC), pointed to the possibility of recovering $1.2 billion in court from Digital Currency Group (DCG) and BlockFi. The report, citing a confidential memo, writes CoinDesk.

The payments by the crypto hedge fund to the aforementioned entities prior to the restructuring are at issue.

According to the document, “the alleged claims” include “both ordinary unsecured claims and claims arising from issues related to modifications of credit documentation and collateral.”

Teneo declined to comment.

DCG and BlockFi had not responded by the time of writing.

In June, 3AC’s liquidatorsseeking to claw back $1.3 billion the hedge fund’s co-founders Su Zhu and Kyle Davies.

A year earlier, a Virgin Islands courtordered the liquidation of Three Arrows Capital. A month later, the firm filed in the United States for bankruptcy protection.

In December, 3AC’s liquidatorsrecovered $35.6 million belonging to the crypto hedge fund in Singapore banks, and filed a motion to sell a $30 million superyacht.

That same month, a courtapproved subpoenas for Zhu and Davies.

In July, Geminifiled suit against DCG and its founder Barry Silbert.

Two months earlier, the holdingmissed a payment of $630 million to the Earn platform. Gemini filed suit, seeking the immediate return of $1.1 billion for 232,000 affected Earn users.