One thing that captured the hearts of traders and yet could be their greatest undoing is that all the decentralized finance sector activities are on-chain. This means that if you have a particular user’s address, you will monitor activities like what coins they invest in or all they do in the DeFi sector.
Since announcements of investments are always timed, it is essential to establish a connection between addresses, funds, and investors in the decentralization finance sector. A recent look into Three Arrow capital activities in the decentralized finance ecosystem shows that the firm has just purchased a massive amount of Chainlink tokens.
Three Arrows Capital owns major investments in the crypto space
According to recent market moves made by the firm, one can boldly say that Three Arrows Capital is one of the firms with the largest crypto holding in the DeFi space. A look at their investments shows that they own Trust shares worth hundred of Millions in Grayscale’s Bitcoin holding.
They also own the largest shareholder in Deribit, a multi-billion dollar crypto exchange and other investments across the crypto sector. With the recent massive purchase of Chainlink that the firm made, one can say that they hold a large chunk of the token.
As Bitcoin saw a little bearish move, which saw it lose $1,000 from its price last night, many people made massive bids spanning across all other digital assets in the market. Notably, Chainlink also witnessed a bearish run, which saw its price rest at $12.50 from its previous $14.
With the price crashing to that figure, Three Arrows Capital reacted to it by buying the dip. According to its address records, a few minutes after the bears took over LINK, the firm bought 351,147 LINK, and a few minutes after, the firm also bought 751,147 LINK, which was worth $10,000,000 as at when it was purchased.
Firms are hodling DeFi tokens in the long term
Presently, records show that Three Arrows Capital has a LINK holding of nothing less than $14 million. The tokens stored in one wallet have now been lent to Aave, with the collaterals being used to borrow stablecoins. Three Crowns Capital is not the only firm accumulating Ethereum based tokens as Jump Trading, a Chicago based trading firm, boasts about $18.5 million in Ethereum with millions worth in other DeFi tokens.
With the firm being a marketing company, it is not yet clear what they intend to do with this massive amount of coins currently being held. Another angle is that the firm might be keeping DeFi tokens like SRM and Keep Network for a long time instead of hedges.
Another firm that has been making huge strides in the DeFi market is Polychain Capital, as it has been accumulating massive amounts of YFI, the native token of Yearn.Finance. Presently, Polychain Capital boasts of owning at least 2% of the total YFI coins in circulation.