Voyager customers can expect to recover at least 35% of their claims.
The US Bankruptcy Court for the Southern District of New York allegedly approved the bankruptcy plan for the bankrupt cryptocurrency brokerage Voyager.
The news was revealed by the news portal Reuters on May 17th. It is worth noting that the day prior, the court had released Judge Michael Wiles' order endorsing the procedure.
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Voyager presented its third bankruptcy plan on May 5th, after Binance.US abandoned its intent to acquire $1 billion worth of Voyager's assets on April 25th.
Despite the US government's initial resistance, the deal had been on track before Binance.US's sudden pull-out. Voyager is now proceeding toward liquidation, which involves distributing its assets among its creditors.
Before the Binance.US transaction fell through, FTX US had won a bid to acquire Voyager's assets for $1.4 billion in September. However, this sale did not proceed due to FTX's collapse.
Reportedly, the FTX deal would have enabled creditors to recoup 72% of their account values.
As stated on Voyager's website, customers could anticipate an initial recovery of 35.72% of their claims. The clients can opt to receive the funds either in cryptocurrency via the Voyager app or in cash after a 30-day period.
As of May 8th, Voyager had $1.33 billion recoverable assets, with $629.8 million available for initial recovery, against claims amounting to $1.8 billion.
The amount available for the creditors' initial recovery could see an increase if Voyager recuperates funds from the bankrupt Three Arrows Capital. In late June, Voyager issued a default notice to Three Arrows on a loan of 15,250 Bitcoin (BTC) and 350 million USD Coin (USDC). These assets were valued at $655 million at that time of notice and roughly $768 million currently.
It is worth noting that Voyager filed for bankruptcy ten months ago, on July 5th, 2022.