Kyle Davies, one of the co-founders of the bankrupt hedge fund firm Three Arrow Capital (3AC), said that he and his partner, Su Zhu, want to donate future Open Exchange (OPNX) earnings to 3AC creditors.
Along with the collapse of the hedge fund 3AC, many crypto lenders, such as Celsius and Voyager, had to file for bankruptcy. One of the 3AC co-founders claims he wants to donate earnings from his new venture to the 3AC victims.
Kyle Davies Declares Donating to Early Supporters of OPNX
In a Twitter Space, 3AC co-founder Kyle Davies talked about their “shadow recovery process” to donate to 3AC creditors who are early OPNX supporters. According to Davies, the donation is separate from the ongoing 3AC liquidation process. He explained:
“Teneo is the liquidator. They will sell the firm’s assets and distribute those to creditors separately. But, we have a number of creditors who were early, that are already whole or more than whole.”
The space hosts questioned if Davies would sell tokenized securities to make the creditors whole. Then, he clarified that there would be no token, but they would donate future earnings of OPNX exchange.
In February this year, Su Zhu announced the OPNX exchange that would allow trading bankruptcy claims. Then in April, OPNX went live, inviting criticism from the crypto community.
Checkout BeInCrypto’s selection of 13 Best Non-KYC Crypto Exchanges here.
The exchange has been controversial due to the history of its founding team. Last month, when OPNX announced an all-time high in trading volume, the community members alleged that the trading volume was fake.
Good Karma?
In the Twitter space, Davies said they were donating to the 3AC creditors for good karma. He spoke:
“We thought about a lot of things, and one of the things that we believe in is Karma and like something greater than all of us, right? For some people, that might be some kind of religion. For some people, it might be more of philosophy or whatever.
We all have this in common, we believe there is something greater out there. So we very much believe in the idea that if we do good, and we say creditors lost money, then they have a way to make more back.
If we do that and they do well, then that’s great. And we think that’s just good karma.”
There is little clarity on how to participate in Davies’ shadow recovery process, but he explained that the only means is supporting OPNX. He also warned against criticizing or “actively defaming” OPNX. Davies explained:
“If you are a trader, you trade. If you are a market maker, you market make. If you just want to support publicly, thats fine too. Some kind of support, and definitely not defaming. If you actively defaming, then thats not part of the process.”
It is worth noting that while Davies and Zhu want to donate to the creditors, they have been uncooperative with the 3AC liquidators.
Got something to say about Kyle Davies or anything else? Write to us or join the discussion on our Telegram channel. You can also catch us on TikTok, Facebook, or Twitter.
For BeInCrypto’s latest Bitcoin (BTC) analysis, click here.
Disclaimer
In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
