Following the recent lawsuit by liquidators for Three Arrows Capital (3AC) claiming frustration with the 3AC co-founders for allegedly failing to respond to subpoenas sent via Twitter. Su Zhu, one of the co-founders, recently tweeted about his new crypto venture, Open Exchange. The exchange aims to give users the opportunity to trade or use portfolio margin with claims against bankrupt cryptocurrency companies.
3AC co-founders launch bankruptcy-focused crypto exchange, community reacts skeptically
Su Zhu, co-founder of defunct crypto hedge fund Three Arrows Capital (3AC), tired Thursday in June-July 2022 was “total darkness” for him and his partner, Kyle Davies. “It was a dark period and we weren’t perfect in how we handled the fallout, but we were determined to do everything we could,” Zhu tweeted.
He went on to emphasize that “words and liquidations can only go so far,” and the duo wants to build something that “takes all the pain, the learning and uses it to advance crypto.”
“It is with humility that we announce that the claim waiting list is now open, with beta testing of the site’s UI/UX coming soon [at] opnx.com,” Zhu added. News of Zhu and Davies starting a new venture with two executives from the Coinflex exchange was reported in mid-January 2023.
The openx.com website.
The exchange plans to allow traders to trade a bankruptcy claim from a defunct crypto platform and hold it as portfolio margin. Currently, the center is not operational and has a waiting list. Zhu further noted that “FLEX will be the primary symbol of the new exchange.”
The website displays logos of failed platforms such as Genesis, Celsius, FTX, Blockfi, Voyager, Hodlnaut, Mt Gox, Vauld and Zipmex, as well as the 3AC logo. The website’s manifesto says a “$20 billion market of claimants is desperately seeking a solution.”
Zhu’s announcement was not well received on social media, as some members of the crypto community expressed disgust. “Yes, you lost all rights to work in this business again,” wrote Magdalena Gronowska. “Instead of launching new scams, you should focus on talking to your lawyers,” she added. “Shut up loser,” answered Nic Carter to Zhu’s tweet.
What are your thoughts on the new bankruptcy-focused crypto exchange and its mission to monetize and trade claims? Share your opinions in the comments below.
Jamie Redman
Jamie Redman is the news editor at Bitcoin.com News and a financial technology journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open source and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.
Image credit: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or an endorsement or recommendation of products, services or companies. Bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the company nor the author is directly or indirectly responsible for damages or losses caused or alleged to be caused by or in connection with the use of or reliance on content, goods or services mentioned in this article.
