Bye FTX, Hello GTX! 3AC Founders Raising US$ 25 Million For A New Cryptocurrency Exchange
- The founders of Three Arrows Capital and CoinFlex are pitching to investors to create a new crypto exchange focused on claims trading
- They are seeking to raise a total capital of $25 million from investors
- The goal is to launch the exchange as soon as February 2023
New Crypto Exchange – GTX
Su Zhu and Kyle Davies, founders of the now-defunct crypto hedge fund Three Arrows Capital, are seeking to raise $25 million to establish a new crypto exchange called GTX. The exchange aims to take advantage of the recent collapse of exchange giant FTX by allowing depositors to transfer their FTX claims to GTX and receive immediate credit in a token called USDG.
The name of the exchange, GTX, is a play on the name of FTX, with one of the pitch decks opening with the line “because G comes after F.”
The founders of Three Arrows Capital are partnering with Mark Lamb and Sudhu Arumugam, founders of CoinFlex, a crypto exchange which is currently undergoing restructuring. The executive team of the new exchange will also include several CoinFlex executives, including the general counsel and chief technology officer.
Their deck was out in the public domain. Famous Chinese reporter Colin Wu posted an image of their deck on his Twitter handle.
The Deck pic.twitter.com/5UMjPZnAnA
— Wu Blockchain (@WuBlockchain) January 16, 2023
Collapse of Celsius
GTX plans to use Coinflex technology and legal team to onboard claims from recent crypto bankruptcies, like Celsius and Voyager. No comment from Lamb, Davies didn’t respond. GTX aims to launch ASAP, with a $20 billion market estimate. 3AC, a major crypto hedge fund, collapsed last year and filed for Chapter 15 bankruptcy with Teneo handling assets liquidation. In December, court ordered subpoenas for Zhu and Davies to submit information on 3AC’s property and finances
The Resurrection of Zhu and Davies
Zhu and Davies, who were previously silent following the collapse of their hedge fund, have recently reappeared on social media. They are thought to be residing in Dubai and Bali, respectively.
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