Starry Night Capital’s NFT collection will be liquidated
Important takeaways
- A Three Arrows Capital filing indicates that the company is liquidating NFTs from the Starry Night Fund.
- Liquidators from Teneo worked with Vincent Van Dough, who helped set up the fund, to acquire the NFTs.
- The research firm Nansen noted yesterday that the collection had been moved and placed its value at around $845,000.
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Crypto hedge fund Three Arrows Capital (3AC) is liquidating its NFTs as part of its ongoing bankruptcy proceedings.
Starry Night NFTs founded
Three Arrows Capital is getting rid of its NFTs.
A statement released through PR firm Teneo indicates that joint liquidators have purchased NFTs from Three Arrows’ NFT fund, Starry Night Capital.
This fund was originally launched in August 2021 in collaboration with NFT art collector and social media influencer Vincent Van Dough. In today’s statement, the joint liquidators said that “all Starry Night Capital NFTs, of which [Vincent Van Dough] is aware of, has been accounted for and is in our possession or is being transferred to us.”
The liquidators also said that Vincent Van Dough has offered to assist with a possible sale and disposal of the NFTs.
The liquidation firm said its actions are intended to “protect the value of these assets” for stakeholders and ensure that no Starry Night assets will be disposed of improperly or without legal sanction.
Three Arrows’ Starry Night fund initially purchased various non-fungible tokens, including a Ringers NFT from Art Blocks artist Dmitri Cherniak, a Pepe the Frog NFT from original artist Matt Furie, the computer-generated piece Fidenza #718, plus CryptoPunks and other assorted collectibles .
Rumors about the collection’s liquidation emerged yesterday when the research firm Nansen observed that the NFTs had been transferred to a new address.
Starry Night was originally described as a $100 million fund. Although it is unclear whether the firm collected or spent the entire amount, the collection appears to have lost significant value. Nansen placed the collection’s current value at 625 ETH ($845,000).
The NFT transfer is part of Three Arrows’ larger liquidation process. On June 29, a court in the British Virgin Islands ordered the company to liquidate its assets with two joint liquidators from Teneo.
The once famous hedge fund filed for bankruptcy on July 9. The Singapore offices were abandoned shortly after, and the co-founders, Su Zhu and Kyle Davies, fled the country.
According to recent reports, Three Arrows Capital is believed to owe as much as $3.5 billion to various companies.
Disclosure: At the time of writing, the author of this piece owned BTC, ETH and other cryptocurrencies.
