What happened
After Terra collapsed, 3AC missed margin calls. A BVI court ordered liquidation on 27 June 2022. The fund transmitted losses into Celsius, Voyager and other lenders.
What failed
Concentrated leveraged bets left the fund unable to meet margin calls.
Current status
The fund is in liquidation. There is no 3AC product for retail users to revive.
What users should do
- Do not confuse leftover commentary tokens with a claim on the 3AC estate.
Lessons
- Hidden leverage in a fund can become a retail withdrawal problem.