The bankrupt Crypto Exchange FTX said in a recent court filing that it does not have to pay a massive $1.53 billion recovery claim with three arrow capital, claiming that the Crypto Hedge Fund’s “self-dangerous (trading) strategy caused a collapse and that (FTX) actions were related to “value” related to “value” associated with “value” by (FTX).
“3AC bets heavily on cryptocurrency prices rising using cash they didn’t have, and instead when prices plummeted, 3AC placed assets from (FTX) and settled the risky bet that they had withdrawn,” FTX’s lawyer wrote in the filing.
The Delaware court overseeing FTX bankruptcy granted 3AC liquidators permission to expand their claims earlier this year, a significant increase from their initial $120 million claim. This comes after 3AC’s lawyers allegedly found new evidence in June 2022 that suggested that the hedge fund had settled its $15.3 billion 3AC assets two weeks before the hedge fund began its own liquidation process. FTX’s lawyers say they did not lend to the loan that the liquidation of 3AC assets on the platform was not being loaned to FTX. Otherwise it has been proven. The Bankruptcy Court has shown the 3AC aspect and found insufficient evidence to support the FTX loan claims.
In its latest filing, FTX Real Estate Attorneys said on June 12, 2022 the actual value of the assets in the 3AC account was only $284 million, with $1.017 million and $733 million in digital assets. They also added that the “first and only” liquidation of the 3AC assets ordered by the FTX was June 14, 2022, with the $82 million cryptocurrency exchanged for cash.
“The joint liquidators have inflated the actual $284 million value of assets related to the 3AC account on June 12, 2022, over $1.2 billion. They ignore that the overall loss of accounts resulting from a decline in market prices and withdrawal of 3AC is attributable to the withdrawal of 3AC, not FTX actions.
“The joint liquidator calls on this court to force the bill on other exchange customers and creditors for the failed strategy of 3AC by asserting an illogical and unfounded claim of $1.53 billion…
