The US arm of crypto exchange giant FTX is set to acquire the assets of bankrupt crypto lender Voyager Digital after placing a bid of over $1 billion.
According to a new press release, Voyager, which is auctioning its remaining assets as a part of a restructuring plan, has successfully completed an auction in which FTX.US has agreed to purchase its assets for a staggering $1.42 billion.
FTX.US’s bid consists of the fair market value of all of Voyager’s digital assets at a future date that has yet to be determined as well as additional considerations. Voyager’s crypto assets are currently estimated to be worth $1.31 billion.
The acquisition is a means for Voyager to return value to their customers and other creditors after filing bankruptcy, according to the press release.
“FTX US’s bid maximizes value and minimizes the remaining duration of the Company’s restructuring by providing a clear path forward for the Debtors to consummate a chapter 11 plan and return value to their customers and other creditors.”
Last week, FTX entered into a bidding war with Binance, the world’s largest crypto exchange by volume, for Voyager’s digital assets. At the time, FTX CEO Sam Bankman-Fried said his offer is better for Voyager compared to dealing with insolvency.
“The goal of our joint proposal is to help establish a better way to resolve an insolvent crypto business – a way that allows customers to obtain early liquidity and reclaim a portion of their assets without forcing them to speculate on bankruptcy outcomes and take one-sided risks.”
Also last week, Voyager received about $200 million worth of Ethereum (ETH) and Bitcoin (BTC) from Alameda Research, Bankman-Fried’s crypto trading firm. Voyager received the funds as repayment for a loan.
The purchase agreement between FTX.US and Voyager is scheduled for October 19th in New York, according to the press release.
Voyager initially filed for bankruptcy in July after crypto firm Three Arrows Capital (3AC), a prominent borrower, failed to pay back a loan worth hundreds of millions of dollars.
According to a Bloomberg report, Sam Bankman-Fried is already looking into buying out Celsius next.Don't Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
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