Three Arrows Capital (3AC) has filed for Chapter 15 bankruptcy in New York. The mega fund, founded by Credit Suisse traders Zhu Su and Kyle Davies, at one time managed an estimated $10 billion in assets. The insolvency has forced major industry players to reshuffle operations and limit customer withdrawals amid a crypto selloff. 3AC defaulted on a $660 million loan to Voyager Digital this week. BlockFi announced a deal with FTX U.S. and noted that it had lost around $80 million from its dealings with 3AC. The firm’s ongoing collapse is causing trouble for plenty of venture-backed crypto darlings including BlockFi and FTX. The liquidation is being carried out in the British Virgin Islands. . . .
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