XRP primed for institutional adoption in Asia via tracker fund launch

3AC Liquidators Pursue $1.3 Billion from FoundersLiquidators appointed for Three Arrows Capital (3AC), the failed Singaporean cryptocurrency hedge fund, are seeking to recover $1.3 billion from the fund’s co-founders.That’s according to an unidentified source cited by Bloomberg in a report published on Tuesday. The requested amount represents losses incurred by the founders during the months leading up to the firm’s collapse, according to a source familiar with the liquidators’ claims.Photo by Giorgio Trovato on UnsplashLiability allegationsDuring a meeting with the hedge fund’s creditors on Tuesday, the liquidators discussed the allegations against Three Arrows co-founders Su Zhu and Kyle Davies. The co-founders are accused of causing the hedge fund to accumulate significant leverage between May and June 2022, despite already suffering substantial losses from ill-fated Luna tokens and other investments.The liquidators argue that the firm was insolvent at that time. Consequently, they have taken legal action against Zhu and Davies in a British Virgin Islands court to recover the losses on behalf of the fund’s creditors.Lawyers representing Zhu and Davies have not yet responded to requests for comment. However, in a Twitter post last June, Zhu mentioned that their attempts to cooperate with the liquidators were met with resistance.Crypto failure catalystThe failure of Three Arrows Capital coincided with a downturn in the digital currency market, impacting platforms that had exposure to the hedge fund, including crypto lenders BlockFi and Voyager Digital. These platforms subsequently filed for bankruptcy in the weeks following the liquidation of the hedge fund.The liquidators’ allegations against the co-founders represent an escalation of actions taken against Zhu and Davies, whom they have accused of non-cooperation during the investigation. The liquidators, who are partners at the consulting and advisory firm Teneo, were appointed by a British Virgin Islands court last year to recover funds for Three Arrows Capital’s creditors, who are collectively owed approximately $3.3 billion.Earlier this month, the liquidators urged a New York bankruptcy judge to impose a daily fine of $10,000 on Davies. They argue that this substantial fine is warranted because he has failed to respond to a subpoena requesting business records and other relevant information.While the liquidators do not currently know the whereabouts of Davies or Zhu, court documents from earlier this month referenced a New York Times article reporting that Davies had traveled to Bali after the collapse of Three Arrows Capital.Restraining orderIn May Zhu had secured a restraining order against BitMEX Co-Founder Arthur Hayes in a Singaporean court. Hayes believes that he is owed $6 million by the 3AC co-founders. Despite significant adverse publicity within the crypto space, the 3AC co-founders have proceeded to do business within the industry.They’ve established a crypto claims trading platform, OPNX, and alongside that Dubai-based business, they’ve also established a new venture capital fund, 3AC Ventures.The Dubai regulator, the Virtual Assets Regulatory Authority (VARA), has reprimanded OPNX and the business's founders for operating an unregistered digital assets business within the territory.

Lotte Data Communication launches NFT donation campaign for children’s rehab centerSouth Korean IT service company Lotte Data Communication is running an NFT donation campaign dedicated to building a children’s rehabilitation center on its NFT marketplace KottonSeed, according to local newspaper The Herald Business on Friday.Photo by Markus Winkler on UnsplashNFTs for charitySponsored by the South Korean Ministry of Health and Welfare, the Korea Disabled People’s Development Institute, the non-profit organization Todag Todag and Hanam City’s Disabled People Family Support Center, the donation campaign will run throughout this month, rewarding every participant with one free “Good Seed NFT”. For each NFT distributed, Lotte Data Communication vowed to donate KRW 1,004 ($0.77). In Korean, the number 1,004 has the same pronunciation as “angel.”The company explained that the project aims to go beyond using NFTs simply as a form of virtual assets, but rather inspire a spirit of giving by showcasing the various ways that NFTs can be used. KottonSeed will also partake in more donation campaigns incorporating Good Seed NFTs in the future to contribute to this objective.“Through this donation campaign, we wanted to demonstrate that there are no limits to the use of NFTs. We hope this becomes an opportunity for many people to feel that positive influences can reach even the places that tend to go unnoticed in our daily lives through NFTs.”Bringing NFTs to various sectorsKottonSeed — currently a beta service — offers NFT marketplace and wallet services that support blockchain networks like Ethereum, Polygon and Klaytn and a variety of payment methods, making it easy for anyone to buy, sell and own NFTs. Lotte Data Communication has been making strides to increase KottonSeed’s presence in the NFT market since its launch earlier this year. It has been incorporating NFTs into various sectors such as proof of participation in activities, product promotion, sports marketing and environmental, social and governance (ESG) efforts.

QCP Capital: Bitcoin Has $34K Price PotentialBitcoin’s potential for a significant price rally toward $34,000 has been discussed recently by analysts at QCP Capital, the Singapore-headquartered crypto asset trading firm. Despite Bitcoin’s recent lack of major volatility catalysts, QCP’s analysis suggests that a classic support rebound might trigger the return of the highest Bitcoin prices in over a year.Photo by Kanchanara on UnsplashCrucial price action time-frameAccording to QCP Capital’s latest market update on Tuesday, the upcoming weeks are poised to be crucial for Bitcoin’s price action. The cryptocurrency has been range-bound for months, leaving market observers speculating about the emergence of a new market trend.QCP Capital highlights September as a pivotal month due to the completion of a rising wedge pattern that started during the end of the 2022 bear market. This pattern has guided Bitcoin’s price movement, with the wedge reaching its first termination point at the beginning of September. The specific level of interest is $29,300, which aligns with the current focal point of the Bitcoin spot price.Rally potentialThe analysis ponders whether there will be a sharp rally that pushes the price to the $34,000 resistance level. This scenario has occurred three times this year, as the price kissed the support trendline. The report acknowledges that it might take a few more quiet weeks before the outcome becomes clear. The analysts expressed their intention to buy back their end of September short calls and anticipate going long on end of December volatility in due course.QCP Capital’s perspective aligns with other optimistic views on Bitcoin’s short-term price strength. Some projections even suggest that the 2023 Bitcoin bull market might return by October, although the market sentiment is varied, with some cautioning about the possibility of new lows before a broader recovery.Macroeconomic trendsTurning to macroeconomic trends, QCP Capital indicates that significant change is not on the immediate horizon, echoing the status quo in the crypto space. Comparing the current situation to the compressed trading environment of the crypto winter in 2018 and 2019, the analysis suggests that a macroeconomic shift would be required to reinvigorate the market, similar to what has happened in the past.Bitcoin’s volatility has reached historic lows, as illustrated by data just published by on-chain market intelligence firm, Glassnode. While a game-changing macro environment shift isn’t imminent, there are short-term catalysts on the crypto calendar for the upcoming months.These include events like Mt. Gox creditor payouts, the GBTC vs. Securities and Exchange Commission (SEC) lawsuit, potential SEC decisions on Blackrock/Fidelity’s Bitcoin spot ETF applications, and potential news related to centralized crypto exchanges and stablecoins.The September deadline for comments on the initial Bitcoin spot price exchange-traded fund (ETF) applications is particularly noteworthy, as it’s widely seen as a turning point for the industry. Europe’s first Bitcoin spot ETF, which began trading on Tuesday, is being custodied by Fidelity Investments, marking another step in the maturation of the cryptocurrency market.