Crypto War: Su Zhu Accuses Barry Silbert of Misleading Three Arrows Capital

• Barry Silbert and the Winklevoss twins have been engaged in a crypto war.
• Co-founder of Three Arrows Capital, Su Zhu, has spoken out on the situation and accused DCG of conspiring with FTX to attack Luna and stETH.
• Zhu also alleges that Silbert misled Three Arrow Capital for months and accepted more deposits despite being insolvent.

Digital Currency Group (DCG), led by CEO Barry Silbert, and the Winklevoss twins, founders of US exchange Gemini, have been engaged in a crypto war. This has caught the attention of co-founder of Three Arrows Capital, Su Zhu, who has spoken out in a Twitter thread about the situation.

Zhu claims that DCG conspired with FTX to attack Luna and stETH, and had made “a lot” of money from the process. Furthermore, DCG reportedly suffered significant losses over the summer from the bankruptcy of 3AC as well as from Babel and other firms involved in GBTC. Zhu suggests that DCG could have calmly restructured their finances but instead they “fabricated a left pocket right pocket callable promissory note that magically filled the hole”. Effectively, Zhu is accusing Silbert of misleading Three Arrow Capital for months and accepting more deposits in the hope of the market rising.

Cameron Winklevoss published an open letter denouncing Silbert’s misconduct and set a deadline for a solution until January 8. Zhu seems to have taken this opportunity to add fuel to the fire, hoping to bring attention to the alleged wrongdoings of Silbert and DCG.