Binance.US to Bid for Voyager as FTX Drops Out
Binance.US, the American subsidiary of crypto exchange Binance, is reportedly seeking to acquire crypto credit provider Voyager Digital after FTX dropped out of the process.
Voyager announced last week, following the fall of FTX
“Voyager has reopened the bidding process for the company, and is in active discussions with alternative bidders.”
The Wall Street Journal reported that Binance is seeking a new auction, while Wave Financial is preparing another bid for the assets. It was stated that an individual familiar with this development was behind this.
Meanwhile, Voyager’s announcement confirmed DreamWorks cofounder David Geffen at Stranger Things has a non-controlling interest in FTX thanks to the company’s $5 million “good faith” deposit, which is held in escrow.
It added that “Voyager successfully recalled loans from Alameda Research for 6,500 BTC and 50,000 ETH. At this time, Voyager has no loans outstanding with any borrower. At the time of FTX Group’s Chapter 11 filing, Voyager maintained a balance of approximately $3 million at FTX.”
As reported in June of last year, the company’s exposure to troubled cryptocurrency fund Three Arrows Capital consisted of BTC $15.2 million and USDC $350 million, and they also entered into a multi-million credit line agreement with Alameda, a quantitative trading firm and the parent company of the FTX exchange.
Also read, Genesis Global Halted Withdrawals Following ‘Unprecedented Market Volatility.’
Voyager completed chapter 11 bankruptcy in July, enabling it to enter a voluntary restructuring process with the goal of returning maximum value to its customers. This was followed by an auction in which both Binance and FTX participated.
At the end of September, following the successful bidding by FTX.US for Voyager assets, its bid was valued at approximately $1,422 billion, which equaled the fair market value of all of Voyager’s crypto assets.
In October of the following year, just before the collapse of the FTX exchange, Voyager Digital obtained the approval of a US bankruptcy court that it had previously approved, thus regaining control over the property that Voyager Digital had previously acquired from the troubled exchange. Following this, Admiral received approval from Voyager Digital’s organization and from the general user base, with plans to find a resolution together.
These considerations occurred when Voyager rejected a six-month joint proposal by FTX and Alameda Research (now also defunct), accusing them of a lowball bidding that would impede the bankrupt company’s bankruptcy process.
