A Founder of the Crypto Hedge Fund Three Arrows Capital Is Arrested

2 Min Read

Su Zhu, a founder of the cryptocurrency fund Three Arrows Capital, was arrested on Friday in Singapore while trying to leave the country, the liquidators of the company said. Mr. Zhu, 36, was arrested at Changi Airport, the liquidators said. A Singaporean court on Monday had issued what are known as “committal” orders for Mr. Zhu and another Three Arrows founder, Kyle Davies, sentencing them both to four months in prison after they failed to cooperate with the liquidators investigating their failed hedge fund. Mr. Davies’s location is unknown, according to Teneo, the firm that is working on the fund’s liquidation. Last summer, Three Arrows, which is based in Singapore and managed $4 billion at its peak, filed for bankruptcy after the cryptocurrency markets melted down. When the fund collapsed, a large swath of the industry was dragged down with it. The ensuing crisis drained the savings of millions of amateur investors and plunged other companies into bankruptcy. Mr. Zhu is the latest crypto executive to be arrested after the crypto market plunged last year. In December, Sam Bankman-Fried, the founder of the crypto exchange FTX, was arrested in the Bahamas and later charged with orchestrating a sweeping fraud involving his company. His criminal trial begins in a federal court in Manhattan on Tuesday.

Share This Article
By admin
test bio
Leave a comment
Please login to use this feature.