Kyle Davies, co-founder of the now-bankrupt Three Arrows Capital (3AC), recently joined the Unchained Podcast to discuss how the crypto community views him, why he’s not sorry for the bankruptcy of his crypto hedge fund two years ago, and his experience with incarceration.

Where the hell is Kyle Davies?

3AC is one of the industry’s biggest names in 2022. The now-defunct crypto hedge fund collapsed shortly after Terra’s collapse, sending the entire crypto market into turmoil.

Since then, Kyle Davies and Su Zhu, 3AC's founders, have faced legal consequences and massive public scrutiny. The two founders were sentenced to four months in prison by the authorities for failing to cooperate with the 3AC bankruptcy investigation.

Davies refused to surrender to Singaporean authorities following Su Zhu’s arrest and remains at large to this day. In an interview with Laura Shin’s Unchained Podcast, the co-founder revealed his decision to avoid a four-month prison sentence.

According to Davies, Su Zhu's detention came as a surprise to both of them as they were allegedly unaware of it, resulting in them missing the court date at which they were to be sentenced. It appears their lawyers made a mistake by not notifying them of the court date.

Furthermore, Davies was surprised by Su Zhu’s experience in prison because he spent his time “meditation and helping others.” Although it was not “like in the movies,” the fugitive co-founder has no plans to return to Singapore anytime soon unless the authorities “eliminate the contempt.”

However, Davies hopes to reach a settlement with the Singaporean authorities:

"I wouldn't go back immediately. But obviously, these things are resolved and they are settled, and these are common tactics. So, I know people try to put pressure on and demand a settlement or whatever. But at the end of the day, all of these things are resolved."

The 3AC co-founder also believes that despite renouncing his US citizenship, his entry into the US should not be a problem. However, Davies did not reveal his current location, other than confirming that he is somewhere in Europe, as he believes that revealing the exact location "would be problematic."

No Apologies for the Crypto Community

During the interview, Shin asked about the crypto community’s opinion on Davies’ lack of apparent “remorse.” The co-founder spoke about his “reputation” and refused to apologize for the crypto hedge fund’s collapse:

“Am I sorry that a company went bankrupt? No, just like a company goes bankrupt, almost every company faces bankruptcy, right?

Davies said it was not important to focus on the mistakes that had been made but "how it was constructed or how it was dealt with". He claimed that for those who had a negative view of him or the 3AC bankruptcy, most of them had not actually been affected by it.

Still, according to Davies, Zhu and he can serve as role models and advisors to companies facing similar challenges, Davies said:

"We will certainly try our best. We can add value in many ways. At the very least, we can even tell the next Three Arrows how to do better when they go bankrupt."