Axios Pro: Fintech Deals

January 11, 2023

Axios Pro Exclusive Content

It's hump day, readers.

Situational awareness: Crypto exchange FTX has recovered more than $5 billion in various assets, not including $425 million in crypto held by the Securities Commission of the Bahamas, a bankruptcy attorney said during a hearing Wednesday.

1 big thing: Voyager deal gets court approval

Illustration of a crypto coin with crossed gavels on it.

Illustration: Aïda Amer/Axios

Bankrupt crypto lender Voyager Digital received initial court approval to move forward with its proposed sale to Binance.US, Ryan writes.

Why it matters: The approval brings Binance.US one step closer to closing the acquisition, and Voyager Digital customers closer to recouping funds locked up during bankruptcy proceedings.

Driving the news: U.S. Bankruptcy Judge Michael E. Wiles on Tuesday allowed Voyager to move forward with an updated asset purchase agreement with Binance.US and to solicit creditor votes on the sale.

  • In doing so, Wiles overruled objections from federal and state regulators that questioned whether Binance was financially stable enough to close the proposed transaction.

Details: As part of the proposed deal, Binance.US will pay $20 million and take over approximately $1 billion in assets on behalf of Voyager customers.

  • If and when the deal closes, those customers could cash out assets from their accounts for the first time since Voyager halted withdrawals and filed for bankruptcy last summer.

What's next: The deal faces hurdles before moving forward. It needs approval from a majority of Voyager's creditors and is subject to another confirmation hearing in March.

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