Bankrupt 3AC Receives Surprising $1M In-flow from Okex Exchange

• 3AC received $1 million in Ethereum tokens from the exchange Okex.
• The broker moved 990 ETH to a new, empty Ethereum wallet.
• Three Arrows Capital owes $3.5 billion to 27 companies, per court documents.

According to an on-chain tracker, the bankrupt crypto hedge fund broker Three Arrows Capital  (3AC) surprisingly received an in-flow of over $1 million worth of Ethereum from the Chinese crypto exchange Okex.

The recent development makes the crypto community wonder about the statement of 3AC about its inability to pay investors due to a lack of funds. Interestingly, after the broker’s wallet got the 658.9 ETH tokens, it moved 990 ETH to a new, empty Ethereum wallet.

Furthermore, another market tracking platform, 0xScope, also revealed that 3AC wallets had become active in the past week, transferring a million worth of tokens.

The purpose of these recent activities remains to be determined. However, some crypto enthusiasts speculate that the bankrupt firm was attempting to re-distribute its significant assets among many wallets to complicate the retribution process.

According to court documents, Three Arrows Capital owes a whopping $3.5 billion to 27 companies, including Blockchain.com, Voyager Digital, and lender Genesis Global Trading. Sadly, Genesis Global Trading loaned 3AC the most of the $3.5 billion; it gave the now-bankrupt company an under-collateralized loan of $2.36 billion and had an 80% margin requirement.

3AC failed to repay loans and missed multiple margin calls with lenders, pushing its investment accounts to fall below the required levels. Charles McGarraugh, the Chief Strategy Officer of Blockchain.com, stated in an affidavit filed on June 26 that the 3AC co-founder attempted to borrow an additional 5,000 Bitcoin from Genesis to pay a margin call to another lender.