Bankrupt cryptocurrency lender Voyager Digital has been granted [court approval](/news/article/voyager-review-binance-deal) to sell more than $1 billion of its assets to Binance US, according to a [Bloomberg report](https://www.bloomberg.com/news/articles/2023-03-07/binance-us-approved-to-buy-voyager-after-judge-spurns-regulators#:~:text=Voyager%20Digital%20Ltd.%20won%20court,the%20approximately%20%241%20billion%20deal.) on 7 March.

US bankruptcy judge Michael Wiles granted the approval after four days of arguments presented by the company and the United States Securities Exchange Commission.
According to the judge's decision, the trading platform will close the sale and issue repayment tokens to impacted customers, giving them back approximately 73% of what they are owed.

Arguments from the SEC that redistributing funds to [Binance](/news/article/stop-minting-binance-stablecoin) US from Voyager would violate US securities laws were rejected. However, Peter M. Aronoff, a lawyer with the Department of Justice, said at the hearing that the federal officials are considering appealing Wiles' decision. The ruling comes days after 97% of 61,300 Voyager account holders favored the current Binance US restructuring plan.

## Voyager to decide on completing sale or liquidating on its own

The trading platform now has the option to complete the sale or liquidate on its own and turn over the proceeds to account holders, depending on how it views the ongoing federal investigations of Binance in the US.

The decision will also be influenced by Voyager's bankruptcy court dispute with [Alameda Research](/news/article/ftx-funds-political-donations-to-be-recovered), the sister company of FTX, which is demanding that Voyager hand over what was originally lent out. The company has agreed to reserve $445 million if it loses that dispute.

Customer payouts will be affected by Voyager's bankruptcy court dispute with Alameda Research and its decision to sell its assets to Binance. Brian Tichenor, the lead investment banker, said in a court hearing that if the approved restructuring plan is executed, customers will receive about $100 million more than if the trading company liquidated on its own.

The price of VGX tokens increased 32.9% to $0.50 in the four hours of the news before cooling off to $0.46 at the time of writing, according to CoinGecko data.


Binance US Cleared to Buy Voyager Assets 

## After initial court approval, Voyager seeks national security review of Binance deal
Adding to the list of ambiguities amidst the recent crypto events, a court has given Voyager approval to sign a deal with Binance worth almost $1bn. However, Voyager is still seeking a positive response from a national security review of the agreement.

The court looked at the Voyager Binance deal on 10 January, as Voyager signed an "asset purchase agreement" with Binance. Michael Wiles, a US bankruptcy Judge, dealt with the proceedings.

This isn't Voyager's first time trying to sign a deal with a major crypto player. Its first attempt to sell its assets was to FTX. However, [that deal was opposed](/news/article/voyager-lending-ftx) by CFIUS (the Committee on Foreign Investment in the US), as FTX was in a state of bankruptcy itself and couldn't afford the deal any longer. Voyager was extremely vigilant this time to ensure the CFIUS didn't oppose this transaction with Binance.

## Terms of the Voyager Binance deal
The Voyager Binance deal includes a few significant terms to keep in mind. The biggest one is that Binance would have all Voyager customers transferred to Binance. This would allow customers to withdraw and use their crypto - something they haven't been able to do with Voyager since last July.

In return, Voyager will receive $20m from Binance as a cash payment. This sale is extremely important for not just Voyager, but its ex-customers too. If the deal breaks down and CFIUS blocks the transactions, Voyager will be forced to sell off all of its crypto possessions to repay customers. This would result in a lower amount than if the Binance deal gets the go-ahead.


The company in bankruptcy estimates its customers would [receive around 51%](https://news.bloomberglaw.com/bankruptcy-law/voyager-customers-projected-to-recover-50-on-crypto-claims) of their crypto’s worth if the Binance deal works out.

## Background of Voyager’s bankruptcy

Voyager wasn't the first crypto exchange to file for bankruptcy last year. The [Terra and Luna debacle](/news/article/terra-luna-collapse) was a massive hit for the crypto industry and resulted in an almost domino-like downfall for many big-name crypto players.
Initially, FTX was Voyager's main candidate to sell its assets to. However, FTX was in a rut and unable to follow through with the deal. The fact that the owner of FTX was arrested amid allegations of fraud was also a red flag for Voyager’s attorneys.


red image of stock market with Binance and Voyager logos overlayed

Voyager-Binance Deal Approved by Court

One of the top-rated cryptocurrency exchanges, FTX, has secured the auction for Voyager Digital’s assets. The [crypto firm Voyager](/news/article/voyager-crypto) confirms that FTX US made the winning bid for the company’s assets, which was $1.422 billion. 

[Sam Bankman-Fried’s](/news/article/sam-bankman-fried) exchange competed for this sale with the crypto investment firm [Wave Financial](https://wavegp.com/). Apart from that, Binance, CrossTower, and several other virtual asset firms also participated in the auction.

On Monday, the exchange issued a [press release](https://www.prnewswire.com/news-releases/voyager-completes-successful-auction-and-announces-agreement-for-ftx-to-acquire-its-assets-301633679.html) announcing the auction’s completion. It mentioned that the bidding war took place for two weeks. It has concluded with the Bahamas-based firm’s winning bid. 

Moreover, it disclosed that the accepted bid includes the future market value of the firm, which is $1.311 billion. Also, it consists of an estimated incremental value of $111 million. 

## Bankruptcy of the crypto firm Voyager

Earlier this year, in July, crypto Voyager Digital filed for [bankruptcy protection](/news/article/crypto-lending-platform-voyager) in the United States. Chapter 11 bankruptcy protection allows businesses to continue their operations while they figure out a plan for either restructuring or selling it. 

It suffered losses of around $650 million as [Three Arrows Capital (3AC)](/news/article/genesis-crypto-claim) defaulted. When filing for the protection, the company was in financial ruin as it had a debt of $1 billion. Following that, it restrained its consumers from retrieving their funds. 

## What is in store for the future of Voyager Digital?

As of now, the company has not provided much information regarding its customer’s crypto funds. However, it has been mentioned that the information regarding how the customers will be able to access their funds will be shared “as it becomes available.”

Nonetheless, it clarified that the exchange would allow its customers to stock and trade their virtual assets. However, it will be authorised after the firm’s chapter 11 bankruptcy cases are resolved. Moreover, this deal will also be completed after the conclusion of the debt issues. The expected date for its decision is October 19.





crypto lender voyager sells assets to ftx

Crypto lender Voyager's assets auctioned to FTX US

Voyager Digital Holdings, a centralised crypto lender, has rejected an offer from FTX and its investment arm Alameda Ventures to buy out its digital assets, claiming that the moves "are not value-maximizing" and may "harm clients."

In a rejection letter submitted in court on Sunday as part of its continuing bankruptcy procedures, Voyager lending attorneys condemned the offer made public by FTX, FTX US, and Alameda on Friday to buy out all of [Voyager's assets](https://news.yahoo.com/crypto-firm-voyager-sell-assets-132257571.html) and existing liabilities, leaving the defaulted loan to Three Arrows Capital (3AC).

## Bankman-Fried proposal plan

On Friday, the three businesses linked to FTX CEO Sam Bankman-Fried proposed a plan to Voyager in which Alameda would absorb all of Voyager's assets and utilise FTX or FTX US to sell and distribute them equally among subscribers affected by the bankruptcy.

[Bankman-Fried](/news/article/former-ftx-ceo-sbf-arrested) stated in FTX's news release that his idea was a method for Voyager customers to recover their losses and move on from the platform:

“Voyager’s customers did not choose to be bankruptcy investors holding unsecured claims. The goal of our joint proposal is to help establish a better way to resolve an insolvent crypto business.”

In a late-night Twitter conversation, Bankman-Fried reiterated his firm's justification for asking to purchase Voyager. He claimed that Voyager's clients had "been through enough already," and that they should be able to retrieve their assets as quickly as possible because bankruptcy processes "can take years."

## Voyager Lending Response

On Sunday, in response to Bankman-Fried proposal plan, the Voyager lending claimed:

“The AlamedaFTX proposal is nothing more than a liquidation of cryptocurrency. It’s a low-ball bid dressed up as a white knight rescue.”

It also outlined six ways in which the proposal could "harm customers," including capital gains tax consequences, unfairly capping the value of each Voyager user's account at its July 5 value, and the effective elimination of the VGX token, which would "instantly destroy in excess of $100 million in value:"

The letter further rejected claims that AlamedaFTX had a better chance of obtaining purchase bids owing to the two companies' continuous partnerships, stating: "Nothing could be farther from the truth as indicated by this answer."

For more latest crypto news, Read [Latest Moni](/news).



Voyager lending rejects FTX’s buyout offer

Another victim of the cryptocurrency crisis is [Voyager Digital]( https://www.investvoyager.com/), which has filed for bankruptcy protection in the United States. Chapter 11 bankruptcy was filed late Tuesday in federal court in New York after the Toronto-listed broker and lender suffered losses of more than $650 million on a loan to the collapsed crypto investor Three Arrows Capital.

Just over a week after it had ceased trade and barred consumers from retrieving their money, Voyager went belly up. Known for its aggressive bets on rising crypto values, Three Arrows, based in Singapore, borrowed extensively from major industry players to increase their market wagers, leaving it seriously underwater as digital token prices collapsed. About 70 percent of top cryptocurrencies have lost value since their high in late 2017.

Despite a rescue loan from Alameda Research, the trading firm managed by FTX founder Sam Bankman-Fried, the company went insolvent last month. According to the bankruptcy filings, Voyager had pulled down the maximum $75 million permitted in a 30-day period, making Alameda its largest unsecured creditor.

## Bear market continues to take its toll on crypto lending platforms

Voyager's Chapter 11 petition is an attempt to shield the company from lawsuits while it restructures. According to the statement, the corporation has more than 100,000 creditors and between $1bn and $10bn in liabilities.

According to the documents, it owes over $1 million to Google, with its other top unsecured creditors being consumers. On top of that, Voyager said it had $110 million in cash and "owned crypto assets" on hand, as well as $1.3 billion worth of crypto assets on its platform.

A combination of crypto assets, the proceeds from Three Arrows' bankruptcy, shares in the company when it re-emerges from insolvency, and "Voyager tokens" will be used to reimburse clients, subject to court clearance.

A number of cryptocurrency-related businesses, including Voyager, have been affected by the downturn in the crypto markets. Voyager has announced that it will be suspending customer withdrawals and that its funds are held in an omnibus account at Metropolitan Commercial Bank.

Although customers' funds are insured by the FDIC, Voyager has cited the prolonged volatility in the markets as the reason for its decision. 

Other crypto lending platforms, such as Celsius and BlockFi, have also been affected by the market downturn and have suspended customer withdrawals. [FTX]( /news/article/ftx-uk)has provided rescue financing to BlockFi, which gives BlockFi the opportunity to acquire Three Arrows.  For more developments on the crypto news go to Latest Moni.


 Crypto lending platform Voyager files for bankruptcy protection

Is [Voyager crypto](https://www.investvoyager.com/) on a voyage to the moon? Some people seem to think so. They point to the partnership with Blockstream as evidence that this up-and-coming cryptocurrency is destined for great things. But others believe that this moonshot is destined to bust. So, which is it?

In this article, we will take a closer look at Voyager crypto and try to determine whether or not its journey to the moon is worth taking.

## What is Voyager Crypto?

Voyager crypto is a new platform that aims to revolutionise the world of cryptocurrency trading. With its advanced algorithms and innovative tools, this platform is designed to make buying and selling cryptocurrencies easier, faster, and more secure.

Unlike traditional exchanges, Voyager crypto offers a wide range of currencies and accessible trade volumes, as well as robust security features to help protect user accounts.
The platform also offers extensive educational resources to help beginner investors get started with crypto trading, and customer support to help users navigate the ever-changing world of crypto investment.

Overall, Voyager crypto looks to be the future of cryptocurrency trading, with its cutting-edge technology and focus on accessibility for all traders.

## What is Voyager Crypto's Plan?

Voyager crypto wants to be a leading global crypto exchange. To achieve this goal, it focuses on providing 'high-quality' services that cater to the needs of all traders, from casual hobbyists to experienced professionals.

The platform is designed with 'user-friendly' features that make it easy to find and execute trades, no matter the expertise.

By drawing on experience in trading and financial technologies, and with input from users across all levels of experience, Voyager crypto aims to be a leader in the rapidly evolving world of blockchain and cryptocurrency.

## What Challenges Does Voyager Crypto Face?

First, the company must overcome the challenge of building trust with potential customers. Voyager crypto is a new entrant to the cryptocurrency space, so people are unfamiliar with the company and its offerings.

The company will need to build a strong marketing and PR campaign to raise awareness of its brand and convince people to use its products and services.
Secondly, Voyager crypto will need to deal with the cryptocurrency market's volatility. Cryptocurrencies are known for their volatility, making it difficult for a company like Voyager crypto to achieve consistent growth.

Finally, Voyager crypto will need to contend with regulatory uncertainty. The cryptocurrency space is still relatively new, and there is much uncertainty around how regulators will treat it in the future. This could threaten the business model's viability.

Nevertheless, Voyager crypto has potential. If these challenges are overcome, it could be a significant player in the cryptocurrency space.

## Is Voyager Crypto a Moonshot or a Bust?

Founded in 2018, New York-based Voyager offers a mobile app and a desktop platform, both designed to be user-friendly and easy to use. Voyager also offers commission-free trading and instant withdrawals.

Regulated by the SEC and a member of FINRA and SIPC, Voyager is also one of the only digital asset brokers that offers FDIC-insured deposits.

Only time will tell if Voyager is a moonshot or a bust.

Voyager crypto has only been around for a few years, and it's still in the early stages of development. However, it has already made a big splash in the world of cryptocurrency.
So far, Voyager crypto seems to be off to a strong start, but time will tell if the momentum can be sustained.

## Voyager Crypto's Chances of Success?

Voyager is built from the ground up with scalability and security in mind. The developers behind Voyager believe that this will make it easier for people to use crypto for everyday transactions, such as buying goods or paying bills.

In addition, Voyager has made a commitment to transparency and accountability, incorporating mechanisms such as governance models and vesting schedules into its design.

## Conclusion

Voyager crypto has potential, and if it can overcome the challenges posed by volatility and regulatory uncertainty, it could become a significant player in the cryptocurrency space.


Latest Moni

Latest Voyager crypto news

Read the latest Voyager crypto news at Moni Talks

Binance US Cleared to Buy Voyager Assets

Voyager-Binance Deal Approved by Court

Crypto lender Voyager's assets auctioned to FTX US

Voyager lending rejects FTX’s buyout offer

Crypto lending platform Voyager files for bankruptcy protection

Voyager Crypto on a Voyage to the Moon?