WOO Network Plans to Buy Back Shares from Three Arrows Capital
Cryptocurrency trading platform WOO Network has announced its intention to repurchase shares and tokens from the bankrupt crypto hedge fund Three Arrows Capital (3AC). The move aims to clear up the uncertainty surrounding WOO’s business caused by 3AC’s collapse. WOO has agreed with 3AC liquidator Teneo to buy back the shares and tokens at a discount, severing ties with the failed hedge fund and its creditors.
Background: Three Arrows Capital as WOO’s Largest Investor
In November 2021, Three Arrows Capital became WOO Network’s largest investor during its Series A funding round. As part of the investment, 3AC purchased equity in WOO and received 25 million WOO tokens, which were set to vest over a 12-month period after the funding round.
Repurchase Details and Plans for Tokens
The total value of the shares and tokens being bought back has not been disclosed. However, WOO has confirmed that it will burn 20 million repurchased WOO tokens and cancel 3AC’s shares. This action will increase the ownership proportionally for other shareholders on the platform.
Rebuilding Trust and Clearing Uncertainty
Jack Tan, co-founder of WOO Network, expressed satisfaction with the repurchase plans, stating that they are pleased to eliminate the uncertainty caused by 3AC’s collapse. Tan emphasized the need for a cleansing of the industry and looks forward to rebuilding with their partners and team.
Legal Troubles for 3AC Founders
While WOO works towards restoring its reputation, Three Arrows Capital is still dealing with bankruptcy issues as authorities seek to hold the hedge fund’s management accountable. One of the co-founders, Zhu Su, was recently arrested in Singapore while attempting to leave the country. Another co-founder, Kyle Davies, is currently missing. Both individuals have been banned by the Monetary Authority of Singapore from participating in any local financial or investment activities for the next nine years.
Hot Take: WOO Network Takes Control of its Future
WOO Network’s decision to repurchase shares and tokens from Three Arrows Capital demonstrates their commitment to regaining control and stability in the crypto space. By severing ties with 3AC, WOO can eliminate uncertainty and rebuild trust with its partners and team. This move also showcases the importance of transparency and accountability in the cryptocurrency industry as authorities crack down on failed ventures. WOO Network’s proactive approach sets a positive example for other platforms navigating similar challenges.
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