Crypto brokerage and exchange company Voyager Digital went bankrupt about eight months ago. Since then, the crypto giant Binance had expressed interest in buying the assets held by the company. The proposed deal, however, was met with opposition from regulators, raising Binance’s credibility concerns. The lawsuit to address these concerns ultimately worked in Binance’s favor.
Court approves sale
After almost eight months of waiting, users of the Voyager Digital platform should soon be smiling again. On Tuesday, March 7, the bankruptcy court ruled in favor of Binance’s acquisition of the firm’s assets.
We remember that the Securities and Exchange Commission (SEC) had opposed the conclusion of the deal. She had demanded details of the market proposed by the two firms, otherwise they would not receive her approval. In the fund, the SEC seemed to blame the American section of Binance for a certain lack of credibility. A situation related to the collapse of FTX.
This challenge finally landed in court and after 4 days of hearings, the SEC drew a blank. Because without disregarding the reasons raised by the SEC, justice considers that they lack a legal basis.
“I find myself in the absolutely unenviable position of having to make a decision on the proposed transaction in the face of hearsay accusations of potential wrongdoing in an industry where other companies have apparently committed actual wrongdoing. Nor have I received any evidence that Binance.US is misusing client assets or that it is untrustworthy,” indicates judgment handed down by Federal Judge Michael Wiles.
This means that Binance can officially proceed with the acquisition of Voyager Digital’s assets. A half-success for the stakeholders since the operation is still not immune to new blockages.
Indeed, the Interagency Committee on Foreign Investment in the United States (CFIUS) could intervene in the case. This, for example, by seeking to examine the court documents of the transaction. However, one option is still possible. Based on the plan of restructuring of Voyagerthe firm may consider liquidating its assets itself.
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