Three Arrows Capital (3AC) founder Kyle Davies said the company went bankrupt not because of the collapse in the Terra (LUNA) ecosystem, but because of a position in FTX.
Speaking on a podcast, Kyle Davies talked about Three Arrows Capital. Not Luna or a bear market, but a liquidated position in FTX claimed to have sunk.
According to Davies’s allegations, FTX and Alameda Research officials were informed about Three Arrows Capital’s position in FTX. they were talking among themselves and Alameda Research, particularly Moved by targeting the position opened by 3AC.
Claiming that the collapse in the Terra (LUNA) ecosystem did not affect the company much, Davies made the following statement:
“I was hit by what happened (at LUNA). I invested 200 million dollars, it first went up to 600 million dollars, then it went down to zero. I was hit by this, but I was managing a fund worth more than $4 billion. So it wasn’t a huge blow.”
Davies, who until a few months ago managed one of the largest funds in the industry, says Three Arrows Capital took the biggest hit in FTX:
“After all the blows we’ve taken, the blow that killed us was that our final position in FTX was targeted. There’s an FTX exchange, there’s Alameda, a trading firm. private conversations from someone bragging about the knowledge of what level of liquidity we will be there is. Then our position took a hit.”