The U.S. Securities and Trade Fee (SEC) is pausing Voyager Digital’s plans to promote its belongings to Binance.US, in keeping with a courtroom submitting dated Jan. 4.
In that restricted objection, the SEC asserted that Voyager has failed to supply sure items of data. Particularly, it stated that Voyager has not proven that Binance.US will have the ability to perform a transaction that will probably be bigger than $1 billion.
Moreover, the SEC stated that Voyager has not supplied ample element about the way it plans to safe buyer belongings in opposition to theft or loss. The regulator additionally stated that Voyager hasn’t proven the way it may rebalance its crypto portfolio if the sale transaction just isn’t efficiently accomplished by a sure date.
The SEC stated that the problems raised right this moment have been despatched to Voyagers’s counsel. It additionally stated that it has been advised {that a} revised assertion will probably be supplied.
Voyager’s woes
Voyager Digital halted withdrawals and declared chapter in the course of the first week of July 2022. It started the method of auctioning its belongings within the months that adopted. Although FTX was initially named because the profitable bidder in Voyager’s public sale, FTX itself went bankrupt in November, forcing each corporations to desert the deal.
Voyager quickly resumed the public sale. Binance.US, one of many high bidders within the first section, re-entered the public sale and positioned the best bid. On Dec. 19, it was introduced that Binance.US would buy Voyager Digital’s belongings for $1.022 billion.
The above deal will permit funds to be totally distributed to customers. Although Voyager gained permission to renew sure cash withdrawals in August, plainly this didn’t embody all consumer belongings and that the public sale is important to make customers entire.
