FTX Bags Assets of Bankrupt Crypto Lender Voyager for Around $1.44 Billion

The deal has taken into consideration the fair market value of all Voyager cryptocurrency.

Written by Radhika Parashar, Edited by Siddharth Suvarna | Updated: 27 September 2022 15:39 IST

FTX Bags Assets of Bankrupt Crypto Lender Voyager for Around $1.44 Billion

Photo Credit: FTX US

Binance crypto exchange was among the top contenders for Voyager’s assets

Highlights

The auction was held last week in New York City
Earlier this year Voyager had rejected a buy-out offer from FTX
Voyager has sued Three Arrows Capital for its bankrupt fate

After multiple bidding rounds, FTX crypto exchange has bagged the assets of bankrupt crypto lender Voyager. The development comes after FTX's bid war with Binance crypto exchange over these assets made it to the headlines recently. FTX's bid is valued at approximately $1.422 billion (roughly Rs. 11,602 crore). The deal has taken into consideration the fair market value of all Voyager cryptocurrency, which at current market prices is estimated to be $1.311 billion (roughly Rs. 10,695 crore).

New Jersey-based Voyager Digital that reached a $3.74 billion (roughly Rs. 29,791 crore) market cap last year, slipped down the business ladder following the collapse of 3 Arrows Capital (3AC). The bankrupt company is now asking for $650 million (roughly Rs. 5,194 crore) from 3AC in damages.

Given the situation, FTX's winning big comprised an additional consideration that is estimated as providing approximately $111 million (roughly Rs. 905 crore) of incremental value, an official press release said.

Australia's CBDC Pilot to Be Completed By Mid-2023

“The asset purchase agreement between Voyager Digital LLC and FTX US will be presented for approval to the United States Bankruptcy Court for the Southern District of New York on Wednesday, October 19, 2022 and the objection deadline to the transaction is October 12,” the release noted.

Binance crypto exchange was among the top contenders for Voyager's assets. An auction for Voyager's assets was recently held in New York City before this result was announced.

Today, after a competitive auction aimed at returning maximum value to customers, @FTX_Official US was selected as the highest and best bidder. Press release linked below. More information about what this agreement means for customers to follow.https://t.co/OmOd7pvSza
— Voyager (@investvoyager) September 27, 2022

Voyager, in July, had categorically rejected a buyout offer from FTX and its subsidiary Alameda Research, calling it a ‘low-ball bid'.

At the time, Voyager had said it would entertain "any serious proposal" made under its bidding procedures, while the joint offer from Bankman-Fried's firms “was designed to generate publicity” rather than provide value to customers, they added.

Disney Seeks Corporate Lawyer for Emerging Technologies Like NFTs, Metaverse

Apple unveiled eight new products at its September 'Far Out' event. Which ones will float — and which will sink? We discuss this on Orbital, the Gadgets 360 podcast. Orbital is available on Spotify, Gaana, JioSaavn, Google Podcasts, Apple Podcasts, Amazon Music and wherever you get your podcasts.

Affiliate links may be automatically generated - see our ethics statement for details.

Comments

For the latest tech news and reviews, follow Gadgets 360 on X, Facebook, WhatsApp, Threads and Google News. For the latest videos on gadgets and tech, subscribe to our YouTube channel. If you want to know everything about top influencers, follow our in-house Who'sThat360 on Instagram and YouTube.

Further reading: Cryptocurrency, FTX, Voyager, Binance

Radhika Parashar

Email Radhika

Radhika Parashar is a senior correspondent for Gadgets 360. She has been reporting on tech and telecom for the last three years now and will be focussing on writing about all things crypto. Besides this, she is a major sitcom nerd and often replies in Chandler Bing and Michael Scott references. For tips or queries you could reach out to her at RadhikaP@ndtv.com. More