Last year witnessed some of the most dramatic collapses in the history of crypto. It all started with the first collapse of Terra’s (LUNA) ecosystem in May 2022 which eroded $40 billion of investors’ wealth in a week’s time.

The contagion spread led to an immediate collapse of the world’s largest crypto hedge fund Three Arrows Capital (3AC). Now, 3AC founder Zhu Su has come out openly blaming Digital Currency Group (DCG) – the parent firm of Grayscale Investments and Genesis Trading – behind the collapse of Terra.

In his latest Twitter thread, Zhu Su alleges that DCG along with FTX conspired for the fall of LUNa and STETH. As 3AC went bankrupt after the Terra collapse, DCG and FTX took substantial losses. The losses extended beyond 3AC with the bankruptcies of Babel and other firms that were involved in GBTC.

The 3AC founder adds that DCG could have worked along with them in the restructuring process. “Instead they fabricated a left pocket right pocket callable promissory note that magically filled the hole. This is like a kid losing at poker and saying “I am fine, my dad will pay you, let me keep playing”,” he adds.