Three Arrows-Backed Rook protocol sees surge in exercise: ROOK value surge 14%

• Three Arrows Capital hedge fund filed for chapter final yr.
• Three Arrows Capital invested within the seed spherical for Rook in 2020.
• There are speculations that Zhu Su and Kyle Davies could have accomplished a $25 million fundraise.

Liquidity protocol Rook, which is backed by the bankrupt Three Arrow Capital (3AC) hedge fund, has skilled a surge in exercise inflicting its native token, the ROOK, value to leap to a day by day excessive of $16.38. At press time, ROOK was up 13.22% to commerce at $15.33.

The surge in exercise comes towards the backdrop of speculations that Three Arrows founders have accomplished a $25 million fundraising to construct “an change to commerce chapter claims.” This comes after DeFi researcher Ignas tweeted.

1/12 Kyle Davies reached out to me after this tweet.

The fundraising deal is finished.

However they will not disclose who’re the buyers – as most exchanges do not.

He additionally defined how the change, collateral system & tokenomics works: 🧵 https://t.co/A43gKBMjz0

— Ignas | DeFi Analysis (@DefiIgnas) March 7, 2023

3AC relationship with Rook

In 2020, Three Arrows Capital invested within the seed spherical for KeeperDAO, which is what rebranded to Rook Protocol.

For individuals who don’t know Rook Protocol, it’s a most extractable worth (MEV) market on Ethereum. Its most important goal is to redistribute worth that’s usually swept beneath the carpet by predatory buying and selling platforms and miners. 3AC co-founder Zhu Su on the time when 3AC invested in KeeperDAO’s seed spherical stated that the protocol might preserve liquidation on Ethereum “environment friendly” whereas permitting contributors to earn.

Information from Defillama exhibits Rook at the moment has about $5 million in complete worth locked (TVL) which is way under its 2021 excessive of $606 million, curtsey of the 2022 crypto winter attributable to the numerous crypto companies collapses that began with the collapse of the $60 billion Terra (LUNA) ecosystem.