Crypto platform Voyager Digital has signed a on-binding term sheet with Alameda Research for a line of credit to secure customer assets in the current bear market.
Stephen Ehrlich, CEO of Voyager said, “Today’s actions give Voyager more flexibility to mitigate current market conditions and strengthen our relationship with one of the industry leaders.”
“Safeguarding customer assets is always our top priority, and ongoing, prudent risk management as well as a strong balance sheet are two ways that we continue to demonstrate that priority.”
The loan will be in two parts. The first is a cash/USDC-based credit facility with an aggregate principal amount of US$200 million. The second revolving credit facility is for 15,000 in Bitcoin.
Both the credit facilities have an annual interest rate of 5% payable on maturity and will expire on December 21, 2024.
Voyager will use these credit facilities only if they need to safeguard customer assets in face of the currently crashing crypto market. The platform has more than US$200 million on its balance sheet, as of now.
Also Read: Bitcoin Crash Leads to Over $800M in Liquidations
