Episode Details

In this episode of pplpod, we dive into the chaotic saga of Su Zhu and Kyle Davies, the high school classmates who founded the crypto hedge fund Three Arrows Capital (3AC). We track their journey from arbitrage trading to managing an estimated $10 billion in cryptocurrency assets, and the massive leverage that ultimately led to the fund’s implosion during the 2022 crash.

We explore how risky bets on projects like Luna and Grayscale left the firm owing $3.5 billion to creditors, triggering a liquidation ordered by courts in the British Virgin Islands. We also discuss the surreal aftermath: while liquidators chased assets, the founders retreated to Bali to surf, paint, and get "zenned out". Finally, we cover the legal consequences—including Su Zhu’s 2023 arrest at Changi Airport—and the duo's controversial comeback attempts with Open Exchange (OPNX) and the $3AC memecoin.