The US business of Cryptocurrency exchange Binance has walked away from an agreement for around $1 billion to acquire the assets of bankrupt crypto broker Voyager.
Voyager filed for bankruptcy last year after failing to make payments on $675 million in bitcoin and stablecoin loans to crypto hedge fund Three Arrows Capital.
Amid security concerns expressed by the Security and Exchanges Commission, a New York judge granted Voyager permission to enter into an asset purchase agreement with Binance US back in January.
Voyager on Tuesday tweeted that it had received a letter from Binance US which advised on the termination. The company desceibed the decision as disappointing but said that its chapter 11 bankruptcy allows for direct distribution of cash and crypto to customers via its platform.
“Consistent with the plan, we will now move swiftly to return value to customers via direct distributions,” the company said. “We will provide more information on next steps and any actions customers need to take in the coming days.”
In November 2022, Sam Bankman-Fried-helmed crypto exchange FTX was poised to rescue Voyager after winning a $1.4 billion bankruptcy auction. The deal was not completed before a run on FTX led to its collapse, and Bankman-Fried is now facing charges of fraud and bribery.
Latest News
-
Revolut reveals 2025 vision featuring AI assistant, mortgages, and ATMs
-
ZA Bank launches cryptocurrency trading in ‘Asia first’
-
BIAN launches new developer tools
-
Canadian banks leading on AI, says founder of Evident AI Index
-
Barclays fined £40m over Qatar fundraising failures from 2008
-
Mastercard Multi-Token Network connects to JP Morgan’s Kinexys Digital Payments for settlement
The human firewall: Activating employees to safeguard financial data
As financial services increasingly embrace SaaS and cloud-based technologies, they face emerging threats to safeguard sensitive customer data. While comprehensive IT security measures are essential, the active involvement of employees across organisations is pivotal in ensuring the protection of sensitive data.
Building a secure financial future for instant payments: The convergence of ISO 20022 and fraud detection
The financial landscape is rapidly evolving its approach to real-time transactions under the ISO 20022 standard, and financial institutions must take note. With examples such as the accelerated adoption of SEPA Instant Credit Transfers in Europe and proposed New Payment Architecture (NPA) programme in the UK, the need for swift and effective fraud detection is more crucial than ever.
Data Streaming and Consumer Duty: Transforming customer experience in banking
Introduced at the end of July, the Consumer Duty is a game-changing new set of rules and guidance for financial services institutions in the UK, and companies must look to modernise their systems in adherence with it in mind to create the best customer experience possible.
From insight to action: Empowering financial institutions through advanced technology and collaborative information sharing
The use of Information sharing in enhancing financial crime prevention has been universally agreed as being beneficial. However no-one has been able to agree on how information can be shared safely without breaching data protection laws or having the right systems to facilitate this, Information sharing has re-emerged as a major consideration for financial institutions (FIs) ahead of the Economic Crime and Corporate Transparency Bill being made into law in the UK.
© 2019 Perspective Publishing Privacy & Cookies
Recent Stories