Binance.US has backed out of its agreement to purchase $1 billion of the assets of bankrupt cryptocurrency broker Voyager Digital, the company announced in a tweet. He blamed the move on the “uncertain and hostile regulatory climate in the United States.”
Voyager, Voyager’s Official Committee on Unsecured Creditors and the US government reached an agreement on April 19 for the purchase to go ahead. The deal had been blocked on March 28 by an emergency stay granted by the judge while the US Department of Justice appealed Voyager’s bankruptcy plan.
Voyager and Voyager’s Official Committee on Unsecured Creditors they tweeted his dismay at the news shortly before Binance.US made its announcement. Voyager’s Official Committee of Unsecured Creditors tweeted:
“The Committee is incredibly disappointed with this decision and is investigating potential claims against Binance.US.”
For its part, Binance.US stated that it had decided to “exercise its right to terminate the asset purchase agreement”.
“While our hope throughout this process was to help Voyager customers access their crypto in-kind, the hostile and uncertain regulatory climate in the United States has introduced an unpredictable operating environment that impacts the entire American business community. the exchange said.
It is not clear what prompted the change of heart from Binance.US, which was no doubt already familiar with the US regulatory environment. The crypto community on Twitter reacted with some sympathy towards Binance.US.
“I’m surprised Binance has lasted this long. I would have walked out long ago with all the government bullying,” tweeted StephenEllis_PR. Others were harsher in their comments.
I’m surprised Binance lasted as long as it did. I would’ve bailed a long time ago with all the harassment from the gov.
— ᴾᵘᵉʳᵗᵒ ᴿ⠱ᶜᵒ (@StephenEllis_PR) April 25, 2023
However, that sentiment is not universal. “Really, after you got all our customer information? So you paid 10 million for us. I say you got a deal on this,” answered donterw to Binance.US.
Really, after you have all our information as customers? So you paid 10 million for us. I say you got a deal on this.
—Rashawn (@donterw) April 25, 2023
Voyager and the creditors committee said they would now work on the “toggle option” of distributing cash and cryptocurrency to clients directly through the Voyager platform.
Voyager filed for bankruptcy on July 5.
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