The most expensive Three Arrows Capital NFTs to liquidate

Starry Night Capital, the investment fund focused on NFTs owned by Three Arrows Capital’s (3AC) founders, has moved more than 300 digital collectibles belonging to the now bankrupt firm.

Teneo, the liquidator behind 3AC’s bankruptcy proceedings, said on Tuesday that all the NFTs “have been accounted for and are in our possession or being transferred to us.”

It was a starry night raised by 3AC and pseudonymous investor Vincent Van Dough last summer with the intention of collecting premium NFTs. Data from a Dune Analytics dashboard suggests the fund spent about $35 million on NFTs last year.

But the collection’s value dropped to $4.2 million by July following the turmoil in the crypto markets. Analysis firm Nansen estimates that the value now stands at 625 ETH (~$861,500 as of press time).

3AC itself was ordered to be wound up at the end of June. The long-running crypto hedge fund firm had faced a series of margin calls across the crypto ecosystem following the collapse of Terra.

3AC had significant exposure to its original algorithmic stablecoin UST when it delinked from the US dollar, costing it nearly $200 million, according to co-founder Kyle Davies.

The Three Arrows Capital fund spent $10 million in ether on the top five NFTs

Much of Starry Night Capital’s NFT portfolio will now be valued below their last purchase price as ether has fallen over 60%, but Teneo is still likely to recover millions from the liquidation.

All dollar values ​​represent sale prices at the time of trade (images sourced from OpenSea).

Pepe the Frog NFT Genesis

Sold for: 1001 ETH ($3.5 million) on October 5, 2021

Some other shit

Sold for: 550 ETH ($2.3 million) on December 5, 2021

DANKRUPT

Sold for: 469 ETH ($2 million) on October 24, 2021

DECAY

Sold for: 345.69 ETH ($1.4 million) on December 5, 2021

AI generated nude portrait #7 Frame #184

Sold for: 300 ETH ($1.1 million) on October 5, 2021

3AC’s Starry Night Capital had transferred all of its NFTs to a single wallet in June, leading to speculation of an upcoming fire sale. In the last two days, the NFTs were transferred to a new Gnosis Safe address which is now owned by Teneo.

The liquidator appreciated Van Dough’s cooperation in accessing the NFTs and in ensuring that they were not disposed of improperly or without authorization from the bankruptcy court. Van Dough is also likely to assist in the eventual sale of the NFTs, it added.

It is not yet clear how much the NFTs will be sold for. Teneo is then expected to share further details of the NFT liquidation process.

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