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Report: Bankrupt Crypto Hedge Fund Three Arrows Capital Probed by SEC, CFTC for Possible Legal Violations

October 18, 2022


The co-founders from the troubled crypto hedge fund Three Arrows Capital (3AC) are reportedly being investigated by U.S. officials, according to anonymous sources cited by Bloomberg. The Bloomberg report says that while creditors claim 3AC owes them billions, the SEC and CFTC are probing “a range of possible legal violations.”

3AC has been a focal point after the hedge fund saw enormous losses from the Terra implosion and UST depegging event, as reports noted in mid-June that the fund was insolvent.