FTX and Binance in Race for Acquiring Voyager Digital Assets

As per the newest report, the 2 topmost exchanges Binance and FTX are at the moment in the race to amass the belongings of bankrupt crypto lender Voyager Digital.

Earlier this 12 months in July 2022, Voyager filed for Chapter 11 chapter after going through main liquidity points amid the crypto market crash. At that point, the corporate’s whole liabilities stood at $4.9 billion. Started in 2019, Voyager Digital operated as a crypto lending platform that took buyer deposits, paid them curiosity, and lent out the belongings to different events.

People accustomed to the matter told WSJ that FTX and Binance have been in a decent race to amass Voyager’s belongings. However, Binance’s bid is at the moment $50 million increased than that of FTX. As we all know, FTX has been on a shopping for spree this 12 months to amass probably good belongings however stays distressed as a result of market crash.

The public sale of Voyager Digital belongings started earlier this month on September 13. Although FTX and Binance have been main, different gamers similar to buying and selling platform CrossTower and crypto funding supervisor Wave Financial had additionally participated.

A listening to on September 29 subsequent week shall disclose the profitable bid, nevertheless, the announcement can come even sooner.

Voyager Digital Distressed Assets

As stated, Voyager Digital slipped into chapter 11 in July following heavy withdrawal requests and liquidity points on the platform. Voyager’s publicity to distressed hedge fund Three Arrows Capital was greater than $650 million which led to the foremost bother.

Crypto buying and selling agency Alameda Research, owned by FTX chief Sam Bankman-Fried had additionally borrowed $377 million from Voyager on the time of chapter. But in July’s submitting, Voyager Digital had bought a chunk of the agency to Alameda Research. Alameda had a 9.5% fairness stake in Voyager in June.

Earlier this week on Monday, Alameda stated that it is able to pay $200 million value of mortgage it bought in crypto in change for $160 million in collateral.

Bhushan is a FinTech fanatic and holds an excellent aptitude in understanding monetary markets. His curiosity in economics and finance draw his consideration in direction of the brand new rising Blockchain Technology and Cryptocurrency markets. He is constantly in a studying course of and retains himself motivated by sharing his acquired information. In free time he reads thriller fictions novels and typically discover his culinary abilities.

The offered content material might embody the non-public opinion of the writer and is topic to market situation. Do your market analysis earlier than investing in cryptocurrencies. The writer or the publication doesn’t maintain any accountability for your private monetary loss.