Crypto brokerage firm Voyager has filed for bankruptcy after liquidation. Voyager Digital posted for their customers. It states that on July 5, 2022, Voyager intentionally began a restructuring process. The process appears in Chapter 11, which will help create an appropriate solution to regain access to the accounts. Also to return values to relevant customers. In addition, the announcement addressed some questions that users may have about the platform. So, as it turns out, users can now withdraw their deposits in fiat as well as US dollars held on Voyager Digital’s platform.
The crypto firm will implement this after some adjustments and complete the fraud prevention process. However, there is no indication of approval of cryptocurrency returns. Voyager’s bankruptcy filing recently came at the height of trouble. This is due to one of the company’s prominent clients, Three Arrows Capital. The company cannot afford loans. Previously, 3AC also filed for Chapter 15 bankruptcy. This happened amid efforts to save its assets from creditors. It was previously reported that a court in the British Isles had granted a winding-up order to a hedge fund manager.
Voyager’s reorganization plan reportedly includes providing customers with a proportionate share of the cryptocurrency. Also, they will receive a corresponding share of the revenues from 3AC. Under the plan, users will also receive shares from the company and existing tokens. However, this reorganization plan has not yet been approved by the court.
Voyager said it grasps the $1.3 billion value of crypto assets in its space. In addition, Three Arrows Capital has an additional $650 million in funds. According to the crypto brokerage firm, clients’ USD deposits are held by Metropolitan Commercial Bank of New York; The Federal Deposit Insurance Corporation also insured this amount up to $250,000.
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