Did blockchain lose $270 million from three arrows capital?

According to a report published on July 8, the cryptocurrency firm Blockchain.com lost $270 million from exposure to the crypto hedge fund Three Arrows Capital (3AC). The news was shared in a recent letter to shareholders written by the company’s CEO Peter Smith.

What is blockchain com?

The company began as the first Bitcoin blockchain explorer in 2011 and later created a cryptocurrency wallet that accounted for 28% of bitcoin transactions between 2012 and 2020. It also operates a cryptocurrency exchange and provides institutional markets lending business and data, charts, and analytics. Blockchain.com is a private company.

Is blockchain the brunt of 3AC's Fallout?

The latest firm to feel the brunt of 3AC’s fallout is Blockchain.com, according to a report published by Coindesk, after the newsdesk reviewed a letter to shareholders written by the CEO Peter Smith. Smith said the firm lost $270 million over the 3AC incident but stressed that Blockchain.com is financially sound.

Why did 3AC lose $270 million?

According to Blockchain.com’s CEO, Peter Smith, the losses amount to $270 million amid the hedge fund’s default on its crypto and US dollar loans. Smith stated that, prior to this incident, 3AC had timely paid back a total of over $700 million in loans in a span of four years during which it had a relationship with the broker.