3AC, as it is also known, went bankrupt due to the collapse of cryptocurrencies and its founders are missing.

Just over four months ago, Three Arrows Capital, one of the world’s largest crypto hedge funds, was managing around $10 billion in assets, and co-founder Zhu Su was quite fond of making public appearances and sharing his opinions.

However, with the collapse of cryptocurrencies, which have plummeted more than 54% so far this year, the fund had to file on July 1 for Chapter 15 of the US Bankruptcy Law in the Southern District of New York.

Events Unfolded

3AC, as the company is also known, borrowed money from various investors and financial players from other industries, and then invested the capital in other crypto projects. The company had gained a certain prestige for being in business for around 10 years.

The fall of Three Arrows Capital began at the same time and for the same reasons as with most cryptocurrencies. In May, the terraUSD stablecoin, which was pegged to the US dollar, lost almost all of its value. It was launched at the cost of US$1 and it was expected that, having a strong backing asset, it would be immune to the high volatility characteristic of cryptocurrencies.

Before filing for bankruptcy, the company moved its registered office from Singapore to the Virgin Islands, to avoid problems with regulatory authorities. From there, it began a liquidation process to pay off its debts, which included defaulting on a $670 million loan.

Now…What?

Now, the co-founders of the failed cryptocurrency hedge fund, Zhu Su and Kyle Davies, have been missing for several days, according to New York court documents.

Adam Goldberg, the lawyer in charge of the liquidation of the crypto hedge fund, assures that he does not know where the founders are and they have not shown interest in collaborating in a significant way. Following this, Chief Judge Martin Glenn of the Bankruptcy Court for the Southern District of New York has given the liquidators permission to subpoena Zhu and Davies.

In response to the accusations, Zhu Su posted recently on Twitter that, “Sadly, our good faith to cooperate with the Liquidators was met with baiting. Hope that they did exercise good faith with the StarkWare token warrants.”

In addition to his brief appearance on social media, the Three Arrows Capital co-founder posted two letters from his attorney. In one, they claimed that they and their families had received “threats of physical violence.” On the other, he made clear his concern about the mismanagement that the liquidators were carrying out with the assets of his hedge fund.

Lawyers for the plaintiff investors and other lenders say their whereabouts are unknown and that the founders have not yet begun to cooperate with the liquidation process in any meaningful way.

At the moment, suspicions point to the fact that they would have moved to Dubai. So believes FatManTerra, the pseudonym of a cryptocurrency detective who became famous after the collapse of Terra, who points out that “it is very likely that they are there (in Dubai), although nobody is 100% sure, not even close associates”. As is known, the United Arab Emirates does not have an extradition treaty with the US, which is why they could have chosen this country as their destination.

By Audy Castaneda

Carbon-credit tokenization firm suffered a delay in the release of the new token. Flowcarbon allows tokens to get burned when carbon credits go away. Both Toucan Protocol Association and KlimaDAO have also stopped new activities.

Adam Neumann’s Flowcarbon is now on the obligation to stop its activities and rollouts of new items amid the current crypto declining market.

 According to CEO and co-founder Dana Gibber, the entity that stores carbon credits on the blockchain is waiting for the crypto market to stabilize. Flowcarbon issues tokens when entities acquire carbon credits, which can get burned when an entity desires to retire the said credits.

Carbon credits have historically been a tool to offset pollution spread into the atmosphere by big entities. A project developer would collect funds by selling carbon tokens to a company wishing to offset its carbon emission.

One carbon credit represents one metric ton of carbon that will get prevented from entering the atmosphere. The carbon credit brings the right to claim an offset when an entity desires to retire a credit, forever making it disappear from the market.

On the other Hand, Tokenization Unleashes more Demand

Increased demand applies pressure on a supply-constrained market. This pressure represents pricing increases for credits. This situation ultimately means more profits for projects where they can intend to grow.

Projects with existing carbon credits can house their credits in Flowcarbon’s registry account, a database type. A one-to-one representation of every carbon credit gets minted into GC02 tokens owned by the entity with the carbon credits under its control.

The entity sends them to a so-called Goddess of Nature smart contract representing a “bundle,” an aggregation of carbon credits with similar criteria. The company then gets one Goddess of Nature token for each GC02 token. When a GNT token disappears or gets retired, one carbon credit goes away from the registry.

The New Token Launch Suffered a Delay

Flowcarbon desired to release a new token by the end of June, a strategy which got now postponed indefinitely, according to Gibber. Toucan and KlimaDAO have revealed a suspension of new activities following the highlight of a highly prominent carbon credit registry.

KlimaDAO and Toucan will be waiting for the outcome of Verra’s research. They have secured the designs while they wait for the crypto winter to go away.

According to the Founder, the Company Amassed At Least $10M this Last Year

Flowcarbon got created by WeWork founder Adam Neumann and his wife, Rebekah, and amassed at least $70 million in capital from presales of its items in May 2022 from Andreessen Horowitz and General Catalyst, amongst others. Rebekah Neumann said she is concerned about environmental issues and even managed to purchase forest areas near the equator.

She had challenged Neumann’s family office team to find extraordinary ways to acquire forests and generate profits. The final project was Flowcarbon. Neumann explained that the entity had already amassed at least $10 million in 2021. According to the workforce in the entity, Neumann isn’t involved in the day-to-day operations but remains in line with the company’s structure.

By: Jenson Nuñez

There are 2 quite probable situations to operate in the short and medium term.

In the last 24 hours, a vast majority of cryptocurrencies have been in an uptrend following Bitcoin’s recovery above $21,000. However, Uniswap (UNI) has stood out among the altcoins for having recorded considerable gains, and if its technical picture is analyzed, there was a bullish momentum pattern for several days.

The price of UNI at this moment is exactly US$7.30 and registers a gain in the last 24 hours of 4.95%. It also accumulates gains in the last 7 days, being exactly 11.48%, according to data from CoinMarketcap.

Bottom Line: Will the Bull Run Continue?

In Uniswap technical analysis, the fundamental situation should also be assessed. And first of all, there is a recent development of great importance, and that is, that the Robinhood cryptocurrency exchange will add support for Uniswap. Therefore, it could be said that the rise of the native token, UNI, is supported.

On the other hand, as mentioned in KEY ALERTS, it is worth keeping an eye on the new hike by the FED that will take place for the second consecutive month, and that will probably be 75 basis points. This is because politicians opposed a larger measure.

Even though everyone is already bracing for a possible shake-up, this brought reassurance even to the crypto market and UNI traders. Because rumors that the hike in July would be 100 basis points were generating panic, this can be considered a relief.

Technical Analysis of Uniswap in Daily Timeframe

The first thing that can be seen is an inverted HCH pattern that warned of the rise. Additionally, there were consecutive rejections during the rise; two in the support zone at $3.53 and two more with the central EMA of ENVs.

It should be noted that the Bull Run supported by the news of Robinhood could mean a return to the resistance zone located at US$ 8.17. However, if a bit pessimistic interpretation of the market and the new FED hike is assumed, the bullish wedge formation can be seen, similar to what happened during March, when UNI prices were knocked down.

This leads us to consider that there may be a new crash in UNI, as happened the previous time. It is quite likely that this drop will be more than 40% based on historical data.

Therefore, it is worth paying attention to the breakout of this channel and the support zone located at US$4.65, especially since the RSI is at overbought levels, exactly 68 points. Also, the MACD histogram shows weakness in the trend.

It’s important to keep an eye on both sides of the picture, as it could deliver huge profits if investors trade futures, and take a close look at the context.

By Audy Castaneda