• Voyager Digital Ltd. has announced that Binance.US has agreed to purchase their assets for $1.022 billion in order to maximize the value returned to customers and other creditors.
• The deal will require court approval and Binance.US will make a $10 million good-faith deposit.
• If the deal does not close by April of 2023, Voyager will be able to begin returning value to customers.
Voyager Digital Ltd. recently announced that a deal had been struck with Binance.US, an American licensed entity independent of Binance international, in order to acquire the assets of the failed cryptocurrency firm. The goal of the acquisition is to maximize the value returned to customers and other creditors on an expedited timeframe. The deal itself is for $1.022 billion, and will be subject to court approval. In order to show good faith, Binance.US has agreed to make a $10 million deposit in advance.
The events leading up to the agreement stem from a loan Voyager Digital made to Three Arrows Capital in July of 2022. This loan was for 15,250 BTC and $350 million USDC, and was followed by Three Arrows Capital’s own bankruptcy in July due to a cascading contagion from the LUNA/Terra collapse. To make matters worse, it was later revealed that Voyager Digital had loaned $376 million to the now bankrupt Alameda Research fund, owned by FTX exchange co-founder Sam Bankman-Fried.
Given these circumstances, the acquisition by Binance.US promises to provide much needed relief to customers and creditors. The press release states that “The Binance.US bid aims to return crypto to customers in kind, in accordance with court-approved disbursements and platform capabilities.” Should the deal not close by April of 2023, Voyager will be able to begin returning value to customers.
Ultimately, the goal of the acquisition is to provide customers and creditors with the maximum possible return of value in a timely manner. A bid for bankruptcy court approval of the asset buyout is set to take place on January 5, 2023. Until then, the agreement between Voyager Digital and Binance.US stands as a beacon of hope in what has been a difficult situation for those affected.