Court Approves 3AC’s $1.53B Claim Against FTX

A U.S. bankruptcy court has allowed liquidators of Three Arrows Capital (3AC) to raise their claim against FTX from $120 million to $1.53 billion. Chief Judge John Dorsey ruled in favor of 3AC’s liquidators, rejecting FTX’s objection that the amended claim was untimely and intended to slow proceedings.

In a March 13 ruling at the U.S. Bankruptcy Court for the District of Delaware, Judge Dorsey stated that 3AC’s liquidators had given sufficient notice regarding their claim and the possibility of amending it after reviewing all available records. He also noted that delays were caused by FTX’s failure to provide relevant documents.

Judge Dorsey stated that the delay in filing the Amended Proof of Claim was largely due to the actions of the Debtors. He further noted, “The Liquidators made consistent efforts to obtain the necessary information, yet the Debtors, despite having full access to it, repeatedly withheld it from them.”

3AC Liquidators Seek Funds Tied to FTX

3AC liquidators initially filed a $120 million claim in June 2023, later expanding it in November 2024. The amended claim alleges breach of contract, unjust enrichment, and breach of fiduciary duty, arguing that FTX had liquidated $1.53 billion in 3AC assets to settle $1.33 billion in liabilities in 2022.

The liquidators claim these transactions were avoidable and harmed 3AC’s creditors, further asserting that FTX debtors delayed providing critical information that would have exposed the liquidation earlier. FTX’s legal team pushed back, arguing that 3AC’s original proof of claim (POC) did not specify the full extent of its demands and that the amendment was filed too late.

FTX Continues Legal Battles on Multiple Fronts

FTX has been suing crypto firms and individuals since its November 2022 bankruptcy. In November 2024, FTX sued SkyBridge Capital and its founder Anthony Scaramucci to try to reclaim money former FTX CEO Sam Bankman-Fried used on sponsorships and investments.

FTX has also filed legal action against crypto exchange Binance and former CEO Changpeng Zhao, aiming to recover $1.76 billion in digital assets sent as part of a 2021 repurchase deal. In another case, Waves founder Aleksandr Ivanov is being pursued for $80 million worth of crypto linked to Alameda Research transactions in 2022.

3AC and FTX’s Collapses Reshape the Crypto Landscape

Three Arrows Capital was one of the largest crypto hedge funds before it collapsed in June 2022, managing more than $3 billion worth of assets. Earlier this year, its liquidators took multiple claims, including a $1.3 billion suit against Terraform Labs.
The ongoing row between 3AC’s liquidators and FTX is part of a broader fight between collapsed crypto firms to claw back cash. The court has granted 3AC’s $1.53 billion claim and the next legal proceedings will decide how much of these assets can be recovered.