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Voyager Digital re-opens bidding for bankrupt exchange's assets

Nov 14, 2022
Illustration of a crypto coin with crossed gavels on it.

Illustration: Aïda Amer/Axios

Another round of bidding has begun for the assets of bankrupt crypto firm Voyager Digital after the collapse of would-be buyer FTX.

Why it matters: With FTX no longer available to play white knight, Voyager and creditors have to go back to the well and seek a new buyer.

Flashback: FTX won the initial auction in September, pledging $51 million in cash plus an additional $60 million in earnouts and incentives.

  • Crypto exchanges Binance and CrossTower were also reported to be in the mix for the Voyager assets during that process.

State of play: With FTX announcing its own bankruptcy proceedings, Voyager and its creditors said the no-shop provisions of the purchase agreement are no longer binding, and they are "evaluating strategic options."

  • A CrossTower spokesperson confirmed that it intends to submit a revised bid, but no further details are available.
  • Meanwhile, Binance has yet to say whether it plans to be a part of the new process.

Of note: As part of its statement, Voyager said it did not transfer any assets to FTX US, but that the proposed acquirer had previously submitted a $5 million "good faith" deposit, which is held in escrow.

  • Voyager also said it successfully recalled loans from Alameda Research for 6,500 BTC and 50,000 ETH and had no outstanding loans with the firm.
  • Voyager maintained a balance of about $3 million at FTX at the time of the latter's bankruptcy filing, which was comprised of locked LUNA2 and locked SRM that it was unable to withdraw.

What’s next: An omnibus hearing is scheduled to take place at 11:00 am ET Tuesday.

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