• Voyager Digital Ltd. announced that Binance.US will acquire the assets of the failed cryptocurrency firm for $1.022 billion.
• The deal seeks to maximize the value returned to customers and creditors on an expedited timeframe.
• A bid for bankruptcy court approval of the asset buyout is set to take place on January 5, 2023.
Voyager Digital Ltd. recently announced that Binance.US will be acquiring the assets of the failed cryptocurrency firm for a total of $1.022 billion. The deal was made in an effort to maximize the value returned to customers and other creditors on an expedited timeframe. This comes after Voyager Digital commenced restructuring processes in July of 2022 after they announced they had a loan to Three Arrows Capital for 15,250 BTC and $350 million USDC.
Unfortunately, Three Arrows Capital also faced bankruptcy in July as a result of cascading contagion from the LUNA/Terra collapse prior. Additionally, it was reported that Voyager Digital had loaned $376 million to the now bankrupt Alameda Research fund, owned by FTX exchange co-founder Sam Bankman-Fried.
In order to move the process along, a bid for bankruptcy court approval of the asset buyout is set to take place on January 5, 2023. Binance.US, an American licensed entity independent of Binance international, will make a $10 million good-faith deposit up front in order to gain approval. If the deal does not close by April of 2023, the agreement allows Voyager to begin returning value to customers.
Overall, this deal is an effort to expedite the process of returning value to customers and creditors, while also providing a potential solution to the complex situation that arose earlier this year. It remains to be seen if the bid for bankruptcy court approval will be accepted, but the hope is that the process will be smoother and more efficient with Binance.US leading the way.