The alternate joins an ever-increasing list of corporations pausing withdrawals, suspending services and products, or experiencing other liquidity crises.
Shutterstock photo by T. Schneider
Key Takeaways
- Voyager Digital announced on the present time that this could occasionally maybe well at this time suspend withdrawals and most other services and products.
- The corporate faced a liquidity crisis closing month, as Three Arrows Capital defaulted on a $665 million loan.
- Though Voyager got one other loan from Alameda Overview, it nonetheless halted services and products on the present time.
Voyager Digital has announced that it’s a long way at this time suspending withdrawals and most other monetary services and products.
Voyager Suspends Most Companies
In a weblog post, Voyager talked about that this could occasionally maybe well at this time suspend trading, deposits, withdrawals, and loyalty rewards. This also can impartial moreover conclude purchasers from using their Voyager debit playing cards.
Customers will, however, serene be in a region to request market knowledge on Voyager’s app. The company will also ship out reward payments for June and says that it plans to continue paying rewards in July.
The restrictions came into create on the present time at 2: 00 p.m. ET on the present time, 45 minutes ahead of the corporate’s announcement of the alternate.
Voyager did no longer indicate when it could maybe maybe presumably reopen its services and products to its purchasers. Moderately, it talked about that it’s a long way “no longer in a speak to enlighten the leisure on the present time” and added that it’s a long way “hopeful that [the company] will dangle extra to portion at this time.”
The company talked about that this could occasionally maybe well explore strategic choices, noting that it’s a long way in discussions with other companies “relating to extra liquidity and the fling-ahead strategy for the corporate.”
Voyager did no longer explicitly verify or dispute whether these discussions also can lead to a buyout of the corporate.
Voyager Secured Loan Closing Week
Voyager Digital has been attempting to elevate up solvency all the procedure in which through June’s industry-large crypto liquidity crisis.
On Jun. 22, Voyager secured a loan price over $500 million in money and crypto from Sam Bankman-Fried’s Alameda Overview.
That loan used to be supposed to substitute funding from Three Arrows Capital, which defaulted on a $665 million loan this week. Voyager talked about on the present time that it’s a long way serene attempting to get better 3AC’s loan throughout the court project within the British Virgin Islands.
Voyager is no longer the categorical company that has halted its services and products in present weeks. Celsius used to be the foremost crypto company to suspend withdrawals on June 13. Other companies comparable to CoinFLEX and Babel Finance dangle performed the identical in present weeks.
As Bitcoin costs stay at a low no longer seen since December 2020, it seems likely that other corporations combating the crypto frigid climate also can discontinue services and products within the shut to future as smartly.
Disclosure: At the time of writing, the author of this portion owned BTC, ETH, and other cryptocurrencies.
The solutions on or accessed through this internet arrangement is obtained from self reliant sources we predict to be correct and legit, however Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any knowledge on or accessed through this internet arrangement. Decentral Media, Inc. is no longer an funding consultant. We enact no longer give personalised funding advice or other monetary advice. The solutions on this internet arrangement is self-discipline to alternate with out notion. Some or all the knowledge on this internet arrangement also can impartial changed into outdated, or it’s a long way going to also very smartly be or changed into incomplete or unsuitable. We are in a position to also impartial, however aren’t obligated to, substitute any outdated, incomplete, or unsuitable knowledge.
Chances are you’ll maybe presumably also impartial serene by no procedure create an funding decision on an ICO, IEO, or other funding essentially essentially based totally on the knowledge on this internet arrangement, and you’re going to also impartial serene by no procedure elaborate or in another case rely upon any of the knowledge on this internet arrangement as funding advice. We strongly suggest that you just search the advice of a certified funding consultant or other qualified monetary real if you occur to are wanting for funding advice on an ICO, IEO, or other funding. We enact no longer bag compensation in any dangle for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized gross sales, securities, or commodities.
Three Arrows Capital Defaults on Voyager Digital
Three Arrows Capital has did no longer pay abet $665 million in loans from Voyager Digital, which on the present time issued the company’s first notion of default. Voyager purchasers could maybe presumably no longer be impacted…
Alameda Bails Out Voyager Digital on News of 3AC Publicity
Voyager Digital has been revealed to dangle had $667 million in publicity to Three Arrows Capital; the corporate has secured a loan from Alameda Overview to make certain that its customers will…
Third-Tier Exchanges “Secretly Insolvent,” Says FTX’…
Sam Bankman-Fried, whose FTX alternate only within the near previous bailed out distressed crypto companies BlockFi and Voyager Digital to a blended tune of $800 million, has warned that extra crypto alternate failures are…
