The post Binance.US One Step Closer to Acquiring Voyager Digital’s Assets in a $1.3 Billion Deal appeared first on Coinpedia Fintech News
Bankrupt crypto lender Voyager Digital has received court approval to sell its assets and transfer its customers to Binance.US in a deal valued at $1.3 billion. However, the deal faces additional hurdles before it becomes final.
Approval by US Bankruptcy Judge:
The restructuring plan built around the Binance.US acquisition has been approved by US Bankruptcy Judge Michael Wiles in a hearing in New York. Binance.US has agreed to pay $20 million in cash to Voyager and to take on crypto assets deposited by Voyager customers. The customers’ crypto assets, valued at $1.3 billion in February, account for the bulk of the deal’s valuation, according to Voyager.
Objection by SEC:
SEC attorney William Uptegrove objected to the acquisition, stating that SEC investigators believe Binance.US is operating an unregistered securities exchange. However, the objection was overruled by the judge.
Additional scrutiny from CFIUS:
The deal also faces additional scrutiny from the Committee on Foreign Investment in the United States (CFIUS), which is investigating national security risks associated with foreign investment in Voyager.
Review of new questions:
While the approval of Voyager’s plan allows it to begin transferring customer accounts to Binance, Voyager needs up to four weeks to review new questions about Binance.US’s commitment to the acquisition, Binance.US’s regulatory compliance, and the security of Binance.US customer deposits.
Recovery of customer deposits:
Voyager estimates the sale will allow customers to recover 73% of the value of their deposits at the time of Voyager’s bankruptcy filing. Once the deal closes and Voyager’s customers have Binance.US accounts in place, they will be able to make withdrawals for the first time since Voyager froze their accounts last summer.
FTX’s Alameda Research:
Regulators from Texas and New Jersey have warned those benefits could be significantly damped if FTX’s Alameda Research succeeds in clawing back $445 million in loan repayments made before its own bankruptcy filing in November.
Binance.US has cleared a major hurdle in its effort to acquire the assets of bankrupt crypto lender Voyager Digital in a deal worth over $1 billion after Michael Wiles, a bankruptcy judge in the Southern District of New York, overruled the various objections to the proposed acquisition. However, the deal still faces additional scrutiny from the Committee on Foreign Investment in the United States (CFIUS).
- Mobile app
- Telegram Channel
- Telegram Group
- Binance Referral Link
- Bitmex Referral Link
- (Recommended For Leverage) ByBit Referral Link
- Buy Ledger Nano at discounted price
- Buy Cool Wallets at discounted price
Don't forget to share your review/suggestions for the android app.
All In One Crypto App is an execution-only service provider. The material provided on this website is for information purposes only and should not be understood as investment advice. Any opinion that may be provided on this page does not constitute a recommendation by All In One Crypto App or its agents. We do not make any representations or warranty on the accuracy or completeness of the information that is provided on this page. If you rely on the information on this page then you do so entirely on your own risks