BlockFi Among Those That Foreclosed On Three Arrows Capital: Report
BlockFi CEO Zac Prince Thursday said the U.S.-based crypto lender foreclosed on a “large client that failed to meet its obligations” following reports that BlockFi was part of the lenders group that canceled some US$400 million in loans made out to Three Arrows Capital (3AC).
Muskaan T.
5:52 17th Jun, 2022
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BlockFi can confirm that we exercised our best business judgment recently with a large client that failed to meet its obligations on an overcollateralized margin loan,” said Prince, adding that all collateral put up against the loan was liquidated.
Prince said that no client funds were affected, and noted that BlockFi was one of the first to take action with the unnamed counterparty.
Although the CEO has not explicitly named the client, his tweet followed a Financial Times report that claimed BlockFi was among the groups that liquidated at least some of 3AC’s positions.
Three Arrows Capital is reportedly facing insolvency with liquidation totaling at least US$400 million, according to The Block Crypto.
