The cryptosphere continues to be shaken in recent days: the consequences of the collapse of Terra (LUNA), the cryptocurrency market and centralized lenders who took reckless risks have not finished making headlines. crypto-media.
Crypto dominoes keep falling
This morning, Voyager Digital announced that it was filing for bankruptcy protection in New York. The Financial Times reports that Voyager would have lost a whopping $650 million due to the default of its biggest borrower, Three Arrows Capital (3AC).
If we are to believe the various documents provided by Voyager Digital, the firm would have signed its death warrant recently: the fateful loan granted to Three Arrows Capital would only date from March 2022. At the time, Voyager would have lent 15,250 bitcoins and 350 million Circle (USDC) dollars to 3AC, which was still almost a billion dollars.
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Debts that weigh in the game
By placing itself under this bankruptcy regime, Voyager seeks to protect itself from endless legal proceedings, while considering a possible restructuring. Voyager Digital would have heavy liabilities: its total debts could weigh more than ten billion dollars, while its available assets (cash and cryptocurrencies included) would not exceed one and a half billion.
However, the restructuring plan proposed by the company is relatively ambitious given the situation: Voyager thus explains that it holds the equivalent of 350 million dollars in an escrow account with the Metropolitan Commercial Bank of New York, which it would be prepared to use to compensate its customers. On a more exotic note, the company specifies that it is considering compensating its customers partly in Voyager Token (VGX), the platform’s in-house cryptocurrency.
The Voyager fall continuesand one question remains: as the dominoes continue their inexorable fall, how many major lenders or players in the crypto ecosystem will still find themselves at the center of catastrophic announcements over the next few weeks?
Another giant of the crypto ecosystem bites the dust. Don’t despair though! Diversify, take your time, exercise caution, and you’ll be fine. Register on the FTX reference crypto exchange platform and benefit from a lifetime discount on your trading fees (affiliate link, see conditions on official website).