Key Takeaways
Crypto hedge fund, Tyr Capital Partners based in Geneva, faces allegations of mismanagement. Swiss prosecutors raided the company after a legal dispute.
This action stems from an investor’s claims regarding losses linked to the FTX collapse. He suggests the firm overlooked internal risk controls and investor cautions about its FTX investments, as stated in legal filings in the Cayman Islands.
In an unfolding drama, TGT, an investment fund, has initiated action to dissolve its portfolio and seize assets from Tyr. This move includes a significant $22 million claim against the FTX cryptocurrency exchange. TGT, which pools resources from various entities including the crypto wealth management service Yield App, is now pushing for control over the remaining assets amid attempts to wind up the investment portfolio.
Tyr, under the leadership of former Deutsche bank trader Edouard Hindi, and Olivier Trombert, previously at the helm of Société Générale’s energy options desk, has refuted TGT’s accusations.
Despite the controversy, Tyr has been celebrated as a beacon of success in the volatile crypto hedge fund landscape. The firm has navigated the market, managing approximately $140 million in assets and capitalizing on price differentials in cryptocurrencies. As a result, it has distinguished itself from peers such as Three Arrows Capital and Galois Capital, which have faced operational collapse.
In a recent development in the cryptocurrency sector, the TGT investment fund has launched a legal challenge against Tyr, a crypto hedge fund in which it had invested. The dispute centers on TGT’s efforts to liquidate its portfolio and assert control over significant assets, including a notable $22 million claim against the embattled cryptocurrency exchange FTX. TGT, meanwhile, is keen on consolidating the remaining assets as it seeks to close out its investment portfolio.
Casey McDonald, Independent Director at Calderwood, did not immediately respond to a request for comment.