Voyager will refund $270 million to customers after receiving an offer to buy back with attractive benefits

 374 total views


2022-08-07 02:20:46

After a period of quiet because of the crisis, crypto lender Voyager Digital said it has received several offers to buy back at high prices with more attractive benefits than what FTX has offered. given earlier.

On August 4, Voyager announced that it had received interest and offers to rescue the company from nearly 100 major organizations. Voyager also said it is in active discussions with more than 20 potential partners for the deal.

Voyager . announced roadmap

Prior to that, crypto lending company Voyager was experiencing the biggest financial crisis in its history since its founding to date. The company is currently in the fundraising stage to be able to reimburse and compensate their customers for damages.

With this statement from Voyager, it can be seen that there are more options for them when the company was previously tied in a complicated relationship with the FTX exchange and the Alameda Research fund.

In July 2022, FTX proposed to buy all of Voyager’s assets and outstanding debts except for Three Arrows Capital’s insolvent loan of up to 1 billion when the fund was deemed to be “defaulting on debt”. ” over $662 million and was almost completely insolvent. FTX will then liquidate assets and distribute funds in USD through the FTX.US exchange.

However, Voyager turned down the offer on the grounds that FTX did not maximize value for the company’s customers. In addition, Voyager announced that it also sent Alameda and FTX separately a cease and desist letter regarding inaccurate public statements, confirming that the organizations led by CEO Sam Bankman-Fried are now defunct. closely related to the company as well as expand the opportunity to participate in the acquisition to other organizations.

The news comes at the same time that U.S. Bankruptcy Court Judge Michael Wiles has authorized Voyager to return $270 million in customer funds held at Metropolitan Commercial Bank (MCB). Voyager had money kept in a bank account when the company filed for bankruptcy on July 5. Those funds were frozen when bankruptcy proceedings began.

In July, Voyager Digital CEO Stephen Ehrlich mentioned that he plans to return customer funds from MCB as soon as the “fraud prevention and reconciliation process” is completed. The company has been requested to disburse funds in MCB since July 15.

Voyager’s debt amounts to nearly $10 billion from about 100,000 creditors. They are also not the only victims of this crypto market liquidity crisis. Names like Celsius, Three Arrows Capital, BlockFi have an even more tragic fate when they cannot repay their debts and their assets are now almost worthless.

#Voyager #refund #million #customers #receiving #offer #buy #attractive #benefits

Related Posts

Leave a Reply

Your email address will not be published.

Close Bitnami banner
Bitnami