In a significant legal development, Three Arrows Capital (3AC) is intensifying its claims against FTX, as reported by COINOTAG News on November 14th. The troubled crypto hedge fund, now under liquidation, seeks to escalate its claim from $120 million to an astonishing $1.53 billion. This move follows allegations that FTX liquidated 3AC’s assets to cover a staggering $1.33 billion debt just weeks prior to the hedge fund’s own downfall.
3AC asserts that these actions were “avoidable and unfair,” leading to substantial damage for its creditors. The hedge fund has accused FTX of mispricing trades, thereby breaching trust and contractual obligations. Compounding these issues, 3AC claims that FTX failed to provide essential information in a timely manner, compelling them to analyze raw data alone to ascertain their losses. A critical hearing scheduled for November 20th will address 3AC’s motion for the claim amendment amidst these ongoing disputes.