Co-founders of Three Arrows Capital Drop Off the Map
After the collapse of Three Arrows Capital, Zhu Su and Kyle Davies, the co-founders, have disappeared from public view. However, they have resurfaced on X to defend themselves and announce their new business ventures: OPNX, an exchange platform based in Dubai, and 3AC Ventures, a hedge fund.
New Ventures Face Controversy
The local financial authority VARA has fined OPNX, but Su and Davies have not yet paid the fine. They have only paid personal fines issued as a result of the same investigation. Additionally, Singaporean authorities have imposed a nine-year ban on any financial or investment businesses started by the duo in Singapore.
Penalties for False Information and Improper Risk Management
The Monetary Authority of Singapore (MAS) has penalized Su and Davies for improper risk management and dereliction of duty. MAS found that 3AC did not have a risk management framework in place for its cryptocurrency and digital asset investments. MAS also discovered that 3AC failed to notify them about hiring a hedge fund manager named Cheong Jun Yoon Arthur within the required timeframe and provided false information about his role.
The Ban and Current Whereabouts
The ban prevents Su and Davies from participating in regulated activities or managing capital market services firms. Their current location is unknown, but they are believed to be in Dubai.
Hot Take: Co-founders of Three Arrows Capital Face Penalties for Misconduct
The co-founders of Three Arrows Capital, Zhu Su and Kyle Davies, are facing penalties from the Monetary Authority of Singapore for their misconduct related to improper risk management and false information. They have been fined for their involvement with OPNX, an exchange platform, and banned from starting financial or investment businesses in Singapore for nine years. This case highlights the importance of implementing robust risk management measures and complying with regulatory requirements in the crypto industry. It serves as a reminder that senior managers who commit misconduct will face serious consequences. The whereabouts of Su and Davies remain unknown, but speculation suggests they may be in Dubai.
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