Crypto buying and selling platform WOO Network is about to sever all remaining ties with the bankrupt Three Arrows Capital (3AC) after reaching a settlement to purchase again shares and tokens beforehand acquired by the crypto hedge fund.
According to an Oct. 11 weblog publish, WOO reached a settlement settlement with Teneo — the agency tasked with liquidating the 3AC property — to buy greater than 20 million WOO tokens and extra shares that the hedge fund had acquired throughout WOO’s Series A funding spherical in November 2021.
“We are pleased to clear the uncertainty related to 3AC from the WOO ecosystem. We proactively collaborated with the liquidators to secure a fair deal to repurchase our shares and both vested and vesting tokens from 3AC’s estate,” stated WOO co-founder Jack Tan.
WOO stated the repurchase of shares and tokens is “at an attractive discount” — a transfer that can sever all remaining ties to the collapsed hedge fund and its collectors.
As a part of the deal, WOO additionally agreed to cancel 3AC’s shares and improve the possession of all different shareholders in proportion to the canceled shares.
Additionally, WOO claimed that the 20 million tokens it repurchased could be despatched to a burn tackle, eradicating them from the circulating provide perpetually.
“The past 18 months have seen a concentration of bad news hit our industry from large-scale failures to more overzealous regulators. A thorough cleansing of the system has taken place and we are looking forward to rebuilding with our partners and team,” Tan added.
Three Arrows Capital was the most important investor in WOO’s 2021 fundraising spherical, buying 25 million WOO tokens and fairness within the crypto alternate. The crypto hedge fund collapsed in July 2022 after making a sequence of outsized, extremely leveraged bets on Do Kwon’s Terra ecosystem, which came crashing down two months earlier in May.
The repurchasing settlement comes lower than two weeks after Su Zhu, one in all 3AC’s co-founders, was arrested in Singapore. Zhu will spend the following 4 months in a Singaporean jail for failing to comply with a neighborhood courtroom order.
Three Arrows Capital liquidators Teneo advised Cointelegraph that whereas Zhu is serving time in jail, “liquidators will seek to engage with him on matters relating to 3AC, focusing on the recovery of assets that are either the property of 3AC or that have been acquired using 3AC’s funds.”
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