Bankrupt crypto lender Voyager Digital announced it selected Binance.US as the highest and best bid in a $1.022 billion deal to acquire the collapsed firm’s assets.
According to the announcement, Voyager selected Binance.US after “a review of strategic options with the core objective of maximizing the value returned to customers and other creditors on an expedited timeframe.”
At a hearing on January 5, 2023, Voyager Digital LLC will seek bankruptcy court approval to sign the asset purchase agreement with Binance.US.
The fair market value of Voyager’s crypto portfolio at a future date has not been determined yet. However, at current market prices, the valuation is estimated to be $1.002 billion, plus additional consideration equal to $20 million of incremental value. Binance.US has agreed to buy Voyager’s assets for $1.022 billion, sealing the acquisition deal.
The bankruptcy estate still has Voyager’s claims against Three Arrows Capital (3AC), and any future proceeds from these and other unabated claims will be given to the estate’s creditors.
“The Binance.US bid aims to return crypto to customers in kind, in accordance with court-approved disbursements and platform capabilities,” Voyager Digital added.
Binance.US will make a good faith deposit of $10 million and pay up to $15 million in reimbursements to Voyager for certain expenses. The Binance.US bid lays out a clear path for the quick unlocking of Voyager customers’ funds.
Brian Shroder, CEO and President of Binance.US, stated, “We hope our selection brings to an end a painful bankruptcy process which saw customers unfairly dragged into it at no fault of their own. Upon close of the deal, users will be able to seamlessly access their digital assets on the Binance.US platform where they will continue to receive future disbursements from the Voyager estate.”
In July, Voyager Digital shocked the community by announcing that it filed for Chapter 11 bankruptcy, collapsing after its exposure to the bankrupt crypto hedge fund Three Arrows Capital.