{"id":11876,"date":"2024-03-22T12:27:47","date_gmt":"2024-03-22T10:27:47","guid":{"rendered":"https:\/\/forklog.com\/en\/kyle-davies-sought-layerzeros-treasury-before-3acs-collapse\/"},"modified":"2024-03-22T12:27:47","modified_gmt":"2024-03-22T10:27:47","slug":"kyle-davies-sought-layerzeros-treasury-before-3acs-collapse","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/kyle-davies-sought-layerzeros-treasury-before-3acs-collapse\/","title":{"rendered":"Kyle Davies Sought LayerZero&#8217;s Treasury Before 3AC&#8217;s Collapse"},"content":{"rendered":"<p>Kyle Davies, co-founder of Three Arrows Capital (3AC), attempted to persuade the omnichain protocol LayerZero to hand over the project&#8217;s entire treasury just days before the hedge fund&#8217;s collapse.<\/p>\n<p>Earlier, Davies stated on the Unchained podcast that he does not regret losing billions of dollars of investors&#8217; money and plans to avoid imprisonment by any means.<\/p>\n<p>In a recent X-post, he reiterated his stance and refused to apologize for the events.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">I wasn\u2019t grinning, I just have big teeth<\/p>\n<p>But I will never apologize for blowing up. We were traders who devoutly believed in up only forever. Still do. Lenders chose to gamble their own low risk clients funds on a high risk thesis. Pointing fingers is for cowards<\/p>\n<p>Remilio <a href=\"https:\/\/t.co\/FLWfTeyCQy\">pic.twitter.com\/FLWfTeyCQy<\/a><\/p>\n<p>\u2014 Kyle ? (@KyleLDavies) <a href=\"https:\/\/twitter.com\/KyleLDavies\/status\/1770797560959000924?ref_src=twsrc%5Etfw\">March 21, 2024<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>&#8220;I wasn\u2019t grinning, I just have big teeth. But I will never apologize for the failure. We were traders who sincerely believed in only going up. We still do. Lenders chose to stake their low-risk clients&#8217; funds on a high-risk thesis. Pointing fingers is for cowards,&#8221; he noted.<\/p>\n<\/blockquote>\n<p>In response to the post, LayerZero&#8217;s co-founder and CEO Bryan Pellegrino revealed that 3AC attempted to &#8220;convince the project to hand over the entire treasury, promising higher interest rates than other borrowers&#8221; just days before the collapse.<\/p>\n<blockquote class=\"twitter-tweet\" data-conversation=\"none\">\n<p lang=\"en\" dir=\"ltr\">I would agree with this 100% and would be in your corner except for the fact that you tried to get us to give you our entire treasury promising better rates than other borrowers as a last gasp effort just days before you blew up.<\/p>\n<p>\u2014 Bryan Pellegrino (@PrimordialAA) <a href=\"https:\/\/twitter.com\/PrimordialAA\/status\/1770819489577255278?ref_src=twsrc%5Etfw\">March 21, 2024<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>&#8220;Liquidation is one thing, but lying and exploiting your friends, portfolio companies, and those around you is quite another,&#8221; emphasized the protocol&#8217;s head.<\/p>\n<\/blockquote>\n<p>Pellegrino also added that 3AC was already insolvent when it proposed the deal to LayerZero.<\/p>\n<p>In May 2022, following the cryptocurrency market crash and Terra&#8217;s collapse, reports emerged of a potential default by Three Arrows Capital.<\/p>\n<p>In late June, a court in the British Virgin Islands ordered the liquidation of the hedge fund. In July, 3AC filed for bankruptcy in a New York court. According to Nansen, the organization managed assets worth around $10 billion.<\/p>\n<p>In September 2023, the company&#8217;s other co-founder, Su Zhu, was detained in Singapore while attempting to leave the country. Local authorities banned the hedge fund&#8217;s founders from participating in regulated business activities for nine years.<\/p>\n<p>In December, a court froze assets belonging to Davies and Zhu worth $1.14 billion.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Kyle Davies, co-founder of Three Arrows Capital (3AC), attempted to persuade the omnichain protocol LayerZero to hand over the project&#8217;s entire treasury just days before the hedge fund&#8217;s collapse. Earlier, Davies stated on the Unchained podcast that he does not regret losing billions of dollars of investors&#8217; money and plans to avoid imprisonment by any [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":11875,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"","news_style_id":"","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1349,1352],"class_list":["post-11876","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-layerzero","tag-three-arrows-capital"],"aioseo_notices":[],"amp_enabled":true,"views":"12","promo_type":"","layout_type":"","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/11876","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=11876"}],"version-history":[{"count":0,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/11876\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/11875"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=11876"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=11876"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=11876"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}