Su Zhu and Kyle Davies, co-founders of Three Arrows Capital, have launched a new bankruptcy claims trading marketplace for trading claims of defunct crypto firms such as FTX and Celsius.
OPNX, the exchange for crypto bankruptcy claims conceived by Three Arrows Capital co-founders Su Zhu and Kyle Davies Coinflex founders, went live today.
The new company is the first bankruptcy marketplace that focuses on trading claims related to insolvent cryptocurrency firms.
CEO Leslie Lamb announced the introduction of the product. Lamb reported that the market was now open for spot and futures transactions.
She stated, “We’re here building OPNX because we want to help the industry.” “More than 20 million claimants worldwide are unable to access their funds for years.”
For trading fees, the marketplace will accept FLEX tokens. One-fifth of revenue will be incinerated, but the frequency of the burning has not been specified.
Marketplaces for bankruptcy claims eliminate the need for creditors of a bankruptcy estate to await the conclusion of bankruptcy proceedings before receiving compensation. Creditors sell claims to the claims market for immediate cash along with the claim’s ownership. The bankruptcy court is then informed that the market is the new claimant. The claims department then undertakes the risk associated with recovering funds from the Debtor.
A cursory examination of the OPNX website reveals that the exchange will process bankruptcy claims from BlockFi, FTX, Genesis, Voyager, Celsius and Vauld, and Three Arrows Capital. The claims are not yet listed on OPNX.
In January 2023, news of the new marketplace made its way to the cables. Where the co-founders of Three Arrows sought to raise $25 million for the GTX bankruptcy marketplace. Last year, a court in the British Virgin Islands ordered the liquidation of their hedge fund. New York Chapter 15 bankruptcy filing soon followed.
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