US Bankruptcy Court Grants 3AC Liquidators to Expand Claim Against FTX to $1.53B
FTX’s debtors expressed objection to the Motion, asserting that the new amended claims “came too late and should be disallowed.”

Liquidators of Three Arrows Capital (3AC), a now-defunct hedge fund, have received approval from the US Bankruptcy court of Delaware to boost FTX claim to $1.53 billion from $120 million.
On Thursday, the court granted permission to expand their claim, which was first proposed by 3AC liquidators in November.
The appeal to raise the claim against FTX stemmed after allegations that FTX liquidated and seized $1.33 billion worth of 3AC’s funds to settle debts.
FTX’s debtors expressed objection to the Motion, asserting that the new amended claims “came too late and should be disallowed.”
However, Judge John T. Dorsey ruled that the hedge fund’s liquidators provided sufficient notice of their new claim.
“In other words, the evidence suggests that the delay in filing the Amended POC (proof of claim) was, in large part, caused by the Debtors themselves,” the court order read.
3AC Accused FTX for Undervaluing Seized Assets
Per a Bloomberg report in November, the hedge fund liquidators have accused the former Sam Bankman-Fried-run beleaguered exchange for undervaluing the seized asset transactions and breaching both trust and contract.
It also claimed that FTX delayed providing information and forced 3AC to analyze raw data to calculate losses.
FTX responded that a 3AC-linked unidentified individual has initiated the asset liquidation.

Hedge Fund Collapse Triggered Wave of Liquidation
Founded by Kyle Davies and Su Zhu, 3AC collapsed in June 2022, triggering heavy liquidations across the industry.
U.S.-based crypto lenders Genesis and BlockFi, and crypto derivatives platform BitMEX were also hit with losses.
The court filings revealed that 3AC liquidators initially claimed $120 million in FTX’s bankruptcy in June 2023. Later, they increased after accusing FTX of breaching the contract, and the fiduciary duty.
“While the scope of the claims asserted in the Amended POC is certainly larger than that asserted in the Original POC, the facts and circumstances that form the basis for the claims are essentially unchanged,” the court noted.
The Judge further said that, having considered all the evidence presented, “I find that the balance of the equities is in favor of allowing the Amended POC.”
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