Binance.US has received approval from a bankruptcy judge in the Southern District of New York to acquire the assets of Voyager Digital, a bankrupt crypto lender. The deal, valued at over $1 billion, has been objected to by the US Securities and Exchange Commission and state regulators, but the judge overruled these objections, indicating his approval of the acquisition. However, Binance.US may still need to overcome certain regulatory hurdles before finalising the deal.
The proposed plan, which came after FTX, the previous bidder, filed for bankruptcy protection in November, was supported by 97% of Voyager creditors. The deal could potentially allow these creditors to recover nearly three-quarters of their holdings. Voyager's $VGX token surged over 24% in the past 24 hours.
During the lengthy hearing, the court heard from various witnesses on complex topics such as how to treat exotic kinds of crypto assets, and how to deal with customers in states where Binance.US is not allowed to operate, such as New York, Texas, Vermont, and Hawaii. Obstacles to the deal, mainly placed by wary regulators, seem to have fallen away. Earlier court filings suggested that Voyager had made a deal with the Federal Trade Commission to avoid interfering with a deceptive marketing probe.
While the deal still needs to go through regulatory scrutiny, the ruling by the bankruptcy judge is a significant step forward for Binance.US's acquisition of Voyager Digital's assets. The proposed deal could be a positive outcome for the majority of Voyager creditors and could help further solidify Binance.US's position in the cryptocurrency market.
TokenInsight is dedicated to covering the most valuable news in the world of crypto. If you have information to share with us, please feel free to contact our email news@tokeninsight.com. Your trust will be well respected.
Binance
Policy and Regulation
Exchanges
