Blockchain.com has $270M Loan to 3AC & Bailouts Era?

Blockchain.com has been operating since 2011 as a crypto wallet, exchange, and blockchain explorer for crypto transactions. Though it has lost its reputation for years, it is still operating flawlessly with an amazing domain name.

Yesterday, the CEO of Blockchain.com shared a letter with stakeholders stating that they are also exposed to Three Arrow Capital and $270M worth of crypto assets are not repaid for the first time by 3AC.

According to the CEO:

Three Arrows has borrowed and repaid over $700 million worth of cryptocurrency in the four years that the firm has been a counterparty of the company Coindesk

The problems with the repayment of loans will not affect the customers of the company but, unfortunately, many people will withdraw their crypto assets after this unlucky news. Although I have some BTC and ETH on the platform, I'm not going to withdraw them because of this problem because the real threat is the companies that do not reveal their exposure to 3AC, Voyager, UST, and LUNA

Giants survive and get loans

I believe the problem with the exposure to bankrupt companies is not a huge deal with giants of crypto that have enough funds to cover their losses with their insurance or emergency funds.

These days are critical for the small-scale crypto lenders, crypto banks, or crypto wallets that aimed to maximize their earnings but lost them in bankrupt companies.

Will CeFi survive with bailouts?

Bailout race between Binance & FTX

When we talk about FTX, we will also mention Alameda Research run by SBF.

Alameda Research, extended a $500 million line of credit to crypto broker Voyager Digital, itself owes the company $377 million, Decrypt

SBF is taking shady moves to bailout Voyager. Though Alameda declared that it increased the line of credit to $500M, the company owes millions of dollars to Voyager!

After the loans to 3AC ($654M), Alameda comes secondary in terms of the highest debt Voyager has.

These days we are witnessing the cold war between SBF and CZ. Surprisingly, CZ has some valid arguments about the recent bailout (?) cases.

In his interview with Decrypt, he mentioned the corrupted relation between Alameda and Voyager.

• Alameda invest in Voyager (bankrupted)
• Voyager gives money to Alameda.
• Alameda owes money to Voyager, which was meant to be saved with Alameda's money!

Tweet by CZ

In the rush into being the angel of crypto, SBF, deliberately or not, made huge mistakes. Obviously, CZ is also bothered and harshly criticized the thing SBF does.

Can't believe we are on the same page with CZ but I expect SBF to be sued for that. All he does is playing with numbers and trying to effect people emotionally. Not Gonna Make It.

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