NFTs Belonging to Bankrupt Crypto Firm Sold for Nearly $2.5 Million At Auction

by

NFTs Belonging to Bankrupt Crypto Firm Sold for Nearly $2.5 Million At Auction:- On Friday, Sotheby’s auction house revealed that they sold seven non-fungible tokens (NFTs) from the bankrupt cryptocurrency hedge fund Three Arrows Capital for around $2.5 million.

Fidenza

One of the tokens, called “Fidenza #725,” showcased an eye-catching image with unique patterns in colors like cream, yellow, pink, and black. This NFT garnered the highest price, selling for over $1 million.

The NFT known as “Fidenza #725” was initially purchased by Three Arrows Capital in 2021 for 135 ether, equivalent to around $341,786 at that time, as reported by DappRadar.

NFTs

The auction of these NFTs took place as part of the liquidation process for Three Arrows Capital, according to a memo from Teneo, one of the liquidators appointed by the court in February.

In 2022, Singapore-based company Three Arrows, known for its involvement in cryptocurrencies, faced bankruptcy. It was one of the first major crypto firms to experience financial collapse, mainly due to the failure of Luna and TerraUSD cryptocurrencies.

Non-fungible tokens (NFTs)

In late June 2022, Three Arrows officially filed for bankruptcy in the British Virgin Islands. The company estimated its assets to be worth around $1 billion at the time. Additionally, their collection of non-fungible tokens (NFTs), a type of digital asset, was valued at approximately $22 million, according to documents obtained by The Block, a cryptocurrency news website.

NFTs, or non-fungible tokens, are digital assets that represent ownership of unique items like images, videos, or text. In 2021, the NFT market saw a massive boom, with auction houses like Sotheby’s and Christie’s getting involved. However, as the interest in speculative assets has cooled down, sales volumes and prices for NFTs have also declined.

Recommended for you:-

Leave a comment