Business

Binance.US buys assets of bankrupt crypto lender Voyager for $1.02 billion using DailyCoin



Binance.US buys assets of bankrupt crypto lender for $1.02 billion
  • Binance.US, an independent unit of Binance operating in the US, reportedly reached an agreement with Voyager Digital to purchase its assets.
  • The deal is worth $1.02 billion. It includes Voyager’s $1.02 billion crypto portfolio and $20 million worth of “additional considerations.”
  • Voyager said that the deal “sets a clear path forward” for Voyager customers to receive their reimbursement “as soon as possible”.
  • Binance.US will return crypto to Voyager customers “in kind”.
  • Voyager’s VGX native token was pumped 32% as of the news.

Binance.US, the US arm of the largest centralized cryptocurrency exchange, Binance, has agreed to buy the assets of bankrupt crypto lender Voyager Digital, the company said Monday.

According to Voyager, Binance.US will buy its assets for $1.02 billion. This total includes the “fair market value” of Voyager’s crypto portfolio and “additional considerations” equal to $20 million in added value.

The bankrupt lender said that Binance.US’ bid “sets a clear path for Voyager customer funds to be unlocked as soon as possible” and that Chanpeng Zhao’s exchange will return it to the customer. in kind”.

“Binance.US’ bid is aimed at returning cryptocurrencies to customers in kind, consistent with the platform’s capabilities and court-approved disbursements,” Travel said in a statement. Voyager, which went bankrupt in July, also said that Binance.US will make an initial $10 million goodwill deposit and will reimburse the company for expenses of up to $15 million.

“If the agreement does not end by April 18, 2023, subject to a one-month extension, the agreement allows Travel to immediately move in to return value to the customer.” the statement said. According to data from CoinGecko, Voyager’s native token VGX surged more than 32% following the news. It is currently trading at $0.364, down 97% from its all-time high of $12.47.

A traveler’s second chance

Binance.US is a potential second buyer of Voyager assets. FTX.US, the exchange of Sam Bankman-Fried that went bankrupt spectacularly last month, has won the bid to buy the property of Travel.

FTX beat out competitors Wave Financial and Binance by offering $1.4 billion in Travel assets. The agreement is said to honor high-profile requests to be paid in full and reimburse unsecured creditors about 72 percent of their property’s value.

However, those acquisition plans fell apart when FTX suddenly declared bankruptcy after a bank was driven by the decision of Binance CEO, Chagpeng Zhao, to give up FTT tokens.

Travel halted withdrawals and filed for bankruptcy last July. The company has experienced severe liquidity problems related to $650 million in defaults, and crypto hedge fund Three Arrows Capital has also gone bankrupt.

On Flipside

  • While FTX may have its own motives for rescuing Travel, it’s unclear why Binance and Changpeng Zhao are buying Du’s assets right now.

Why should you care?

Travel is one of the biggest crypto lenders on the market. Investors with money with it should rejoice after hearing that Binance.US is buying Voyager assets.

You might also like:

Binance Investment Flows Up to $3 Billion, CZ Says Exchange Will Survive Any Crypto Winter

View original on DailyCoin

news5h

News5h: Update the world's latest breaking news online of the day, breaking news, politics, society today, international mainstream news .Updated news 24/7: Entertainment, Sports...at the World everyday world. Hot news, images, video clips that are updated quickly and reliably

Related Articles

Back to top button