The crypto exchange created by the founders of the now-defunct hedge fund Three Arrows Capital (3AC) is closing down just a year after its launch. In an email shared by users on the social media platform X, Open Exchange (OPNX) says it will officially cease operations and shut down in February. OPNX says users should […]
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The OX token hit a price high not seen since co-founder Su Zhu was arrested in late September.
Open Exchange Token (OX), the native token of the crypto bankruptcy claims platform OPNX, spiked 50% just 20 minutes after co-founder Su Zhu supposedly posted to X (Twitter) for the first time since his arrest.
On Dec. 29, the same day he was arrested at Singapore’s Changi Airport attempting to leave the country.
gm
— 朱溯 (@zhusu) December 1, 2023
In the 20 minutes after Su’s X post, OX jumped nearly 50% to $0.021 and hit a 63-day high — a price not seen since the day of Su’s Sept. 29 arrest, according to CoinGecko data.
Shortly after the price peak, OX retraced by around 6%.
Su was arrested on Sept.
The order was meant to see Su serve four months’ imprisonment — meaning he wouldn’t be released until next year, though some have speculated he may have been released after a wallet labeled "suzhu.eth" — believed to belong to Su (though unconfirmed) — became active again on Nov.
OPNX, short for Open Exchange, is a platform allowing for the trade of creditor claims from bankrupt crypto companies.
Kyle Davies’ and Su Zhu’s OPNX exchange acquired a Lithuania virtual asset license to offer spot trading in the EU.
Crypto exchange OPNX has obtained a virtual asset service provider license (VASP) in Lithuania, allowing it to provide spot crypto exchange services throughout the European Union, according to a Nov. 8 announcement seen by Cointelegraph.
The announcement stated that this license would require the exchange to “adhere to the highest standards of compliance and security.” The team claims they have already implemented a “robust” Know Your Customer and Anti-Money Laundering system to ensure they comply with EU regulations.
“Securing the VASP license from Lithuanian authorities is a significant milestone in OPNX’s worldwide expansion and our mission to serve crypto users across the globe,” said OPNX CEO Leslie Lamb.
In a conversation with Cointelegraph, Lamb clarified that some OPNX services may still be unavailable in some jurisdictions within the EU. “This license gives us the ability to service the European region, but there are specific jurisdictions within the EU that do require specific licenses as well in order to operate certain services,” she stated, adding that OPNX is currently attempting to acquire those licenses. However, the current license will allow OPNX to provide spot trading services throughout the EU, with other services becoming available as further licenses are acquired.
Related: 3AC founders’ OPNX exchange claims to be funded by AppWorks, SIG
OPNX has been a controversial exchange since its inception. It was founded by Kyle Davies and Su Zhu, who also founded bankrupt crypto hedge fund Three Arrows Capital (3AC), along with Mark Lamb and Sudhu Arumugam, who founded bankrupt crypto exchange CoinFLEX. Because of its association with these prior bankruptcies, OPNX critics have claimed the exchange is unsafe to use. However, the exchange claims that it is helping bankruptcy creditors by allowing them to sell bankruptcy claims and get paid faster.
One of the co-founders of bankrupt crypto hedge fund Three Arrows Capital (3AC) has reportedly been arrested in an airport in Singapore. According to a new report by The Business Times, 3AC co-founder Su Zhu has been apprehended at the Changi airport as he attempted to leave Singapore. Zhu has received a four-month jail sentence […]
The post 3AC Co-Founder Zhu Su Arrested at Airport, Receives Four Month Jail Sentence for Contempt of Court: Report appeared first on The Daily Hodl.
"3AC Ventures is focused on superior risk-adjusted returns without leverage," the firm wrote.
On June 21, OPNX exchange, a platform for trading claims against bankrupt crypto entities, announced a new ecosystem partner dubbed "3AC Ventures." According to developers, "the partnership will invest in projects building in the OPNX ecosystem and working towards a decentralized future." OPNX was founded by Su Zhu and Kyle Davies, who co-founded the now-bankrupt Singaporean hedge fund Three Arrows Capital (3AC).
Citing the announcement, Kyle Davies commented, "3AC is dead, long live 3AC Ventures." On the firm's landing page, users are greeted with the text "3AC Ventures is focused on superior risk-adjusted returns without leverage," along with an email contact.
In June 2022, 3AC filed for bankruptcy in the British Virgin Islands due to a series of leveraged trades gone wrong amid a cryptocurrency bear market and its exposure to the $40 billion collapse of the Terra Luna ecosystem in May 2022. Both Davies and Zhu could not be located after the bankruptcy filing, though media activity suggests they spend their time in Dubai and Indonesia.
At its peak, 3AC reportedly managed $10 billion in assets. During its bankruptcy, the firm had creditor claims of $3.4 billion. On June 15, 3AC liquidators filed a motion to hold Davies in contempt of court in the United States. However, the motion does not apply to Su Zhu, whose Singaporean citizenship does not subject him to the jurisdiction of the United States.
Launched this April, OPNX witnessed little to no trading activity during the first few days but has since surpassed $30 million in daily average volume. The exchange launched its native token, OX, on May 31, which surpassed a fully diluted market cap of $300 million at the time of publication.
3AC is dead, long live 3AC Ventures https://t.co/61s8uQquOZ
— Kyle Davies (@KyleLDavies) June 21, 2023
Magazine: Zhu Su’s exchange did $13.64 in volume akshually, Huobi in crisis
OPNX exchange has quipped about its earlier low trading volume before experiencing a big surge in volume during the last 24 hours.
Open Exchange (OPNX) has claimed to have experienced a massive surge in trading volume and has joked about its dismally low volume on its opening day.
According to an April 10 tweet by OPNX, its day one trading volume on April 4 hit a total of $13.64 but has since apparently seen a surge to $12,398 on April 9, an increase of over 90,000%.
We're thrilled to announce a significant increase in trading volume at OPNX! On day 1, our volume was a hard-fought $13.64. Today on day 5, it has surged to a magnificent $12,398. That's a remarkable percentage increase of over 90,000%. We are incredibly proud of our team's hard… pic.twitter.com/0rG9F28xzl
— OPNX (@OPNX_Official) April 10, 2023
However, new data suggests the trading volume has seen a far bigger increase during the last 24 hours.
According to CoinGecko data, OPNX’s 24-hour trading volume as of April 10 has exploded to over $179,000, representing a gain of around 24,500% since April 9.
The vast majority of the volume has come from the trading pair for Bitcoin (BTC) and Tether (USDT), with more than $178,000 worth coming from the pair.
It's unclear what exactly sparked the increase but it could be connected to the April 9 announcement from OPNX about a new market-making program to help increase its volume.
After launch, the OPNX community & journalists provided us with valuable feedback about our inadequate liquidity, which admittedly may have contributed to low trading volume. We are grateful for this insight & have taken swift action by instituting the OPNX Market Maker Program: pic.twitter.com/V1Aamfpfeg
— OPNX (@OPNX_Official) April 9, 2023
OPNX’s trading volumes may also be a result of the steady climb in the price of BTC which has seen the largest crypto by market cap cruise past $30,000 for the first time since June 2022.
Related: 3AC, Coinflex founders collaborating to raise $25M for new claims trading exchange
OPNX chief executive officer Leslie Lamb announced the exchange was open for business on April 4 and is the result of a partnership between the co-founders of crypto investment firm Coinflex and the founders of the collapsed hedge fund Three Arrows Capital (3AC), Su Zhu and Kyle Davies.
The crypto community has had a mixed response to the unveiling of OPNX and its reported trading volume.
Some comments criticized the exchange's connection with Davies and Zhu, whose whereabouts have remained unclear since the 2022 collapse of 3AC, which once held $10 billion worth of assets.
Do you sell claims on 3AC?
— sir macintosh (@macgregor_now) April 10, 2023
Others, meanwhile, ridiculed OPNX’s still relatively low trading volume, joking that Changpeng “CZ” Zhao, the CEO and founder of Binance, would be worried about the project.
CZ shaking rn
— Awawat (@Awawat_Trades) April 10, 2023
In contrast, Binance posted a 24-hour volume of over $11 billion compared to OPNX’s $179,000, as per data from CoinGecko.
Magazine: Zhu Su’s exchange did $13.64 in volume akshually, Huobi in crisis: Asia Express
The U.S. judge presiding over the Three Arrows Capital bankruptcy case has upped the pressure on Kyle Davies to comply with a January-issued subpoena.
Kyle Davies, the co-founder of bankrupt crypto hedge fund Three Arrows Capital, has been ordered to answer the subpoena issued to him in January or risk being held in contempt of court.
The Jan. 5 subpoena was issued to Davies via Twitter following approval from a New York bankruptcy court, instructing him to provide 3AC’s liquidators with documents such as seed phrases and private keys as well as company communications and other company-related documents within 14 days.
After failing to hear from Davies, the United States Bankruptcy Judge Martin Glenn granted a motion to compel on March 22, noting that Davies can appear and contest the arguments made by 3AC liquidators, “or he can fail to appear as he has done so far, and, frankly, take his chances.”
There would be peace on Earth if we all spent more time in Bali pic.twitter.com/OgA35g81BE
— Kyle Davies (@KyleLDavies) March 23, 2023
A motion to compel is a legal request that the court will compel one party to provide evidence to the party that brought the motion.
People found to be in contempt of court during civil proceedings are usually hit with a fine, but may also be imprisoned. The purpose of civil contempt is to coerce compliance, so the severity of punishments can increase until the order is carried out.
Related: Do Kwon faces fraud charges from US prosecutors hours after arrest
The current whereabouts of both Kyle Davies and fellow 3AC co-founder Su Zhu remains unknown.
Davies’s most recent tweet, on March 23, appears to show a photograph of him in Bali. However, an earlier tweet from the same day shows him standing with Su Zhu and one other person in Bahrain.
This is not Dubai. This is near World Trade Center in Bahrain pic.twitter.com/owVPctfINA
— Silv (@SilvXBT) March 22, 2023
Su Zhu also shared a tweet with a recognizable landmark in the background on the same day, however, suggesting he may be or have recently been in Dubai.
— Zhu Su 朱溯 (@zhusu) March 22, 2023
According to lawyers for 3AC’s liquidators, Davies has “chosen to ignore his duties to Three Arrows.”
Meanwhile, the pair from 3AC has teamed up with CoinFLEX to launch OPNX, a marketplace aimed at enabling claims in crypto firm bankruptcy proceedings to be bought and sold.
Magazine: Best and worst countries for crypto taxes — Plus crypto tax tips
Following the recent court filing from 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 provide users with the ability to trade or […]
According to reports, the founders of the now-defunct crypto hedge fund Three Arrows Capital (3AC) are seeking to raise $25 million from investors to start a new crypto exchange called GTX. This solicitation for new capital comes after 3AC co-founders Su Zhu and Kyle Davies were subpoenaed over the social media platform Twitter. Pitch Deck […]