SEC Objections To Binance US Deal Dismissed By US Court
After a bankruptcy court ruled in Binance’s favor, the company’s US branch is moving forward with plans to buy the $1.3 billion assets of the troubled crypto lender Voyager.
Reuters reported that Judge Michael Wiles is about to sign a court order that will allow the sale and the $20 million plan to pay back Voyager customers.
The U.S. Securities and Exchange Commission (SEC) made a last-minute objection, but Judge Wiles didn’t let it stand. The SEC said that parts of the $1.3 billion deal could break securities laws.
“I cannot put the entire case into indeterminate deep freeze while regulators figure out whether they believe there are problems with the transaction and plan.”
In a court filing from January, troubled crypto lender Voyager estimated that customers might get back about half of what they owe. However, during a court hearing on March 2, Voyager attorney Christine A. Okike said that, based on the prices of crypto assets right now, customers might get back about 73% of what they owe.
Voyager could still choose to liquidate on its own and give the money to customers instead of selling, but Voyager’s lead investment banker, Brian Tichenor, says that the deal with Binance is the best option.
