3AC Backed Exchange OPNX Plans To Shut Down

3AC announced that OPNX will cease operations. Users were advised to settle positions by February 7 and withdraw assets by February 14.

The individuals responsible for the establishment of the unsuccessful hedge fund Three Arrows Capital have declared that the cryptocurrency bankruptcy claims on the platform and will officially cease all operations and shut down by the 14th of February.

OPNX strongly advised its users to settle their positions by February 7 and withdraw their assets from the platform by February 14. After this date, we will deactivate the withdrawal feature entirely.

“We would like to inform you that OPNX.com will officially cease operations and shut down in February 2024.”

Known as Open Exchange, this platform combines a cryptocurrency exchange and a bankruptcy claims platform. It enables users to trade creditor claims from defunct cryptocurrency companies.

Once the news broke, CoinGecko’s data showed that the price of OPNX’s native OX coin plummeted by 38% dropping from $0.01 to $0.006 in less than an hour.

Su Zhu and Kyle Davies, the co-founders established the cryptocurrency exchange after their $10 billion cryptocurrency hedge fund, Three Arrows Capital (3AC), collapsed and went bankrupt in June of 2022. 

Zhu and Davies vanished not long after the failure of their hedge fund, which they had been managing. Teneo the company in charge of liquidating 3AC’s assets issued a subpoena through electronic messaging on X because the couple concealed information about their separate physical whereabouts.

The pair’s predicament is even more difficult because OPNX has closed its doors. Teneo is attempting to recover $1.3 billion directly from the company’s founders.

Teneo argues that Zhu and Davies took on huge amounts of leverage with investors money after their hedge fund went bankrupt.

There were allegations that Davies and Zhu had violated the securities rules of Singapore at 3AC which resulted in the Central Bank of Singapore issuing prohibition orders against them for nine years in September 2023.