Voyager Digital Seeks Another Buyer as FTX Collapse. A report states that they won’t be selling its assets to the FTX crypto exchange.
FTX purchased the assets of Voyager after it filed for bankruptcy sometime on July 5th when the crypto market crashed. Due to losses incurred from their exposure to 3AC.
Reopen the bidding
During a hearing yesterday, Voyager Digital’s legal team expressed shock, disgruntlement, and dismay at being forced to reopen bidding for its distressed assets following FTX’s bankruptcy.
“We were shocked, disgruntled, dismayed. There will be no transaction with FTX. I think that is quite obvious,” Joshua Sussberg, a lawyer for Voyager and a bankruptcy attorney said.
In the press release, the Voyager Official Committee of Unsecured Creditors acknowledged that no assets had been transferred to FTX US, although a $5 million deposit from FTX US has been placed in escrow.
“There will be no transaction with FTX, I think that is quite obvious,” the lawyer noted.
It was planned to hold a December 8 hearing to possibly confirm the restructuring plan if the FTX Group had not filed for bankruptcy.
“in light of the facts and circumstances surrounding the FTX bankruptcy, the confirmation hearing is canceled, and the related voting and objection deadline and other deadlines approved by the court under the disclosure statement order are no longer in effect,” Sussberg said.
Pursuing the deal with CrossTower
As reported earlier, since the bankruptcy of FTX, Voyager Digital has reopened the bidding process for a new buyer. They first released the statement on November 11, 2022. Voyager also confirmed that 6,500 BTC and 50,000 ETH in loans from Alameda Research was returned and no open loans at the moment.
Voyager can now focus on creating other deals, mainly with former bidders, after the FTX deal collapsed.
FTX agreed to let Voyager pursue other deals, but FTX did not explicitly state it would withdraw from the agreement, according to the lawyer for Voyager.
The company could begin negotiating with CrossTower, which was another losing bidder in the Voyager auction. CrossTower is a global crypto exchange platform.
CrossTower was not the only crypto exchange platform bidding for FTX’s assets, Binance was as well. Among the losers was Wave Financial, an investment manager.