Su Zhu | |
|---|---|
| Born | April 1987 (age 38) China |
| Citizenship | Singaporean |
| Education | Columbia University (BA) |
| Occupation | Entrepreneur |
| Known for | Co-founder of Three Arrows Capital |
Su Zhu (born April 1987) [1] is a Singaporean entrepreneur. [2] Alongside his longtime friend and business partner Kyle Davies, he is a founder of the now-defunct cryptocurrency hedge fund Three Arrows Capital [3] and a founder of Open Exchange (OPNX), a cryptocurrency exchange. [4]
Zhu was born in China and moved to the United States at the age of 6. [1] He attended high school at Phillips Academy in Andover, Massachusetts, graduating in 2005, [5] and graduated summa cum laude from Columbia University with a bachelor's degree in mathematics. [6]
Zhu moved to Tokyo to trade derivatives at Credit Suisse before working as a trader at Flow Traders, a trading shop in Singapore, in 2009. In 2011, he briefly worked as a trader at Deutsche Bank in Hong Kong.
In 2012 Zhu and Davies founded Three Arrows Capital (3AC) in San Francisco. The two raised approximately $1 million in seed capital by borrowing money from their parents. [6] According to Davies in an interview on the podcast UpOnly, 3AC had doubled their money within the first two months. [6]
In 2013 Zhu and Davies re-registered the hedge fund in Singapore to avoid capital gains tax. [6]
According to New York Magazine , in its early stage, the hedge fund focused on "arbitraging emerging-market foreign-exchange derivatives." [6] This continued until banks cut off 3AC from that market in 2017, which initiated the fund's shift to cryptocurrencies. [6]
At its peak in March 2022, 3AC managed an estimated $10 billion in cryptocurrency assets. [7]
As a result of popularity among cryptocurrency-related topics, Zhu amassed over 500,000 followers on Twitter (now X) shortly before the fund failed. [5]
On 16 June 2022, the Financial Times reported that 3AC had failed to meet its margin calls. [8] Six days later, The Wall Street Journal reported that the 3AC had failed to repay a $665 million Bitcoin and USD Coin loan to Voyager Digital, another cryptocurrency hedge fund. [9] [10] The same day, a court in the British Virgin Islands ordered the liquidation of 3AC, overseen by Teneo. [11]
On 2 July 2022, 3AC filed for Chapter 15 bankruptcy to protect its US assets from creditors. [12] The Monetary Authority of Singapore banned Zhu and Davies from participation in the financial sector for nine years. [13]
In an interview with Bloomberg held at an "undisclosed location" in July 2022, Zhu and Davies stated that they plan to move to the United Arab Emirates, [14] a country that does not have extradition treaties with either Singapore or the United States. [15] [ better source needed ]
In June 2023, 3AC liquidators said they were seeking to recover $1.3 billion from Davies and Zhu. [16]
According to The New York Times , during the liquidation process, Zhu and Davies were in Bali, where Zhu attempted surfing and Davies dabbled in painting. [5] Zhu and his family had relocated to Singapore, where they lived in a "good-class bungalow" with a "permaculture farm — an elaborate system of lakes and gardens meant to replicate self-sustaining ecosystems in nature. It’s home to ducks, chickens and numerous types of dragonflies." [1]
In late 2022, Zhu and Davies started a second venture called Open Exchange (OPNX) based in Hong Kong, which began offering its own cryptocurrency in 2023. [17]
In early 2024, Zhu and Davies joined as advisors for the OX.FUN exchange, a platform that aims to merge features of centralized and decentralized exchanges. [18]
The founders also been connected to a token project called Three Arrowz Capitel ($3AC), launched in late 2024. The token, structured as a "memecoin," was marketed on various social media platforms and designed with a 1% transaction tax to provide liquidity and incentives for token holders. However, the token’s launch was met with criticism due to its high concentration of insider-held supply and limited liquidity on decentralized exchanges, leading to significant price volatility. [13]
In late September 2023, Zhu was arrested at Changi Airport in Singapore, [19] while trying to leave the country. [20] Zhu was arrested pursuant to committal orders which sentenced him to four months in prison for failing to cooperate with the liquidators. [5] Zhu was ultimately imprisoned for three months, and claimed it was a "really enjoyable experience overall" in a video published on X. [21]