Venture capital firm DeFiance Capital, which was previously positioned as 3AC’s sub-fund, has just declared its operational independence from hedge fund Three Arrows Capital (3AC), which has recently filed for bankruptcy.
According to the document, DeFiance Capital founder Arthur Cheong registered a firm “completely independent” from Three Arrows Capital in 2020. A similar definition appears on the company’s website.
Per the message:
“Arthur has never been associated with or involved in the management of 3AC and/or its affiliates. He did not have access to the financial statements and documents of the hedge fund and became aware of his solvency problems in mid-June 2022, when the news was spread by the media.”
DeFiance Capital claims it was a counterparty to 3AC and its liquidation impacted the business, causing damage.