| Voyager Digital | |
| Type: | Private |
| Location: | New York |
| Industry: | Hedge fund |
| Fate: | Liquidation |
Voyager Digital was a cryptocurrency brokerage company.
In June 2022, Voyager Digital announced that Three Arrows Capital had not repaid loans totaling $666 Million.[1]
On July 1, the company suspended “trading, deposits, withdrawals and loyalty rewards”[2] and subsequently on July 5, the company filed for Chapter 11 bankruptcy protection.[3]
Later in July, the Federal Reserve and the FDIC in a joint letter ordered the company to cease and desist from making false and misleading statements.[4]
In August, the company received approval from a judge to return $270 million in customer cash, which was locked up after the company’s bankruptcy filing in July. The money accounted for only a small portion of total investor funds.[5]
In September, Binance and FTX both made nearly $50 million bids for the company.[6] FTX would win the auction with a nearly $50 million bid.[7] [8] In November, FTX filed for bankruptcy and Voyager Digital had to find a new buyer.[9] A major investor in Voyager said that the collapse of FTX puts into jeopardy the company's bailout, with $1.3 billion of investor assets threatened.[10] Following the bankruptcy of FTX, the US subsidiary of Binance won the bid to buy the assets of Voyager for approximately $1 billion in December 2022.[11] The U.S. Securities and Exchange Commission (SEC) has filed a limited objection to Binance US's proposed $1 billion acquisition of bankrupt cryptocurrency lender Voyager Digital, a bankruptcy court filing showed in January 2023.