As per Binance.US’ tweet, “Binance.US has made the difficult decision to exercise its right to terminate the asset purchase agreement with Voyager. The hostile and uncertain regulatory climate in the United States has introduced an unpredictable operating environment impacting the entire American business community.”
Binance.US backed out of the Voyager acquisition deal, citing the uncertain regulatory environment in the US as the reason for terminating the asset purchase agreement.
In the official letter addressed to Voyager Digital and Stephen Ehrlich, Binance.US asked the firm to repay its $10M deposit within three days.
On the other hand, the bankrupt lender may seek reverse termination fees from Binance.US. Similarly, the Voyager Official Committee of Unsecured Creditors (Voyager UCC) disclosed their plans to investigate “potential claims” against the exchange. As tweeted by the UCC, Voyager will focus on returning customer funds by going forward with its self-liquidation plans.
Voyager UCC also said the asset purchase agreement mandates Binance.US to purge all customer data received during the bankruptcy process.
Moreover, Binance’s US arm will need to permanently close accounts established with Voyager clients’ information.
It is worth noting that Binance.US made the decision after federal authorities approved a substantial part of the Voyager takeover plan on April 20.
Binance.US first revealed its plans to purchase bankrupt lender Voyager Digital’s assets for $1.022 in December 2022. Not long after the announcement, several US regulators, including the SEC, NYDFS, and CFIUS, objected to Binance’s plans for taking over Voyager Digital.
Written by
Ayush Pande
Ayush Pande is a hardware, gaming, and crypto writer based in India. He's a tech enthusiast who's fascinated by the potential of blockchain technology.
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