Crypto Exchange WOO Repurchases Shares and Tokens to Clear Uncertainty
Crypto exchange WOO has announced its plans to repurchase shares and tokens that were previously acquired by the failed hedge fund Three Arrows Capital. The move is aimed at clearing the uncertainty surrounding these assets. In a statement, WOO revealed that it has reached a settlement with Teneo, the liquidator of 3AC, to buy back the shares and tokens obtained by the hedge fund during WOO’s Series A funding round in November 2021. As part of this process, WOO will increase the ownership of all other shareholders proportionally and burn the 20 million repurchased tokens. However, the total value of the repurchased assets remains undisclosed.
3AC’s Role as WOO’s Largest Investor
During WOO’s series A round, Three Arrows Capital acted as its largest investor by purchasing equity and 25 million WOO tokens. The remaining tokens were set to vest over the next year. By repurchasing these assets, WOO aims to remove any lingering uncertainty associated with 3AC’s involvement in its ecosystem. Jack Tan, co-founder of WOO, expressed satisfaction with the settlement and emphasized the need for a fresh start after recent industry challenges.
Su Zhu’s Arrest and 3AC’s Bankruptcy
Last week, photographs surfaced showing Su Zhu, co-founder of Three Arrows Capital, being arrested at Singapore Changi airport while attempting to leave the country. This development follows 3AC’s bankruptcy filing in July 2022, which came shortly after the collapse of the Terra ecosystem. The hedge fund was burdened with debts totaling at least $3.5 billion owed to its major creditors at that time.
Hot Take: WOO Takes Control of Its Future
By repurchasing its own shares and tokens from the failed hedge fund Three Arrows Capital, WOO is taking a proactive step towards clearing uncertainties and gaining control over its future. This move allows WOO to increase the ownership of other shareholders proportionally and eliminates any lingering doubts associated with 3AC’s involvement. With the recent challenges faced by the cryptocurrency industry, this cleansing process enables WOO to rebuild and move forward with renewed confidence.
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