FTX and Binance in Race for Acquiring Voyager Digital Assets

As per the most recent report, the 2 topmost exchanges Binance and FTX are at the moment within the race to amass the property 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 the moment, the corporate’s whole liabilities stood at $4.9 billion. Began in 2019, Voyager Digital operated as a crypto lending platform that took buyer deposits, paid them curiosity, and lent out the property to different events.

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

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

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

Voyager Digital Distressed Belongings

As stated, Voyager Digital slipped out of business 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 main bother.

Crypto buying and selling agency Alameda Analysis, owned by FTX chief Sam Bankman-Fried had additionally borrowed $377 million from Voyager on the time of chapter. However in July’s submitting, Voyager Digital had bought a chunk of the agency to Alameda Analysis. 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 price of mortgage it bought in crypto in alternate for $160 million in collateral.

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

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