On March 9, on-chain data indicated that the bankrupt crypto exchange Voyager had liquidated $56 million in Ethereum (ETH), Voyager Token (VGT), Shiba Inu (SHIB), and Chainlink (LINK). According to on-chain analytics firm Arkham Intelligence, Voyager has sold crypto assets worth $358.5 million over the past six weeks, selling their ERC-20 assets on Binance.US, Coinbase, and direct over-the-counter trades with market maker Wintermute.
March Liquidation Figures Skyrocket
The firm’s crypto liquidations accelerated significantly in March, with over $138 million moved since the month’s start, compared to a combined $221 million in January and February. The defunct exchange’s wallets still have around $271.5 million in crypto assets poised for liquidation, as confirmed by analytics portal LookonChain, showing a similar value left in its Ethereum wallets.
Regulatory Obstruction
As Voyager continues its liquidation process, regulators seem to be working to slow the process. Recently, the US Department of Justice (DOJ) challenged a New York court order, which allowed Binance.US to acquire the bankrupt crypto exchange Voyager Digital’s assets. The appeal came one day after Judge Michael Wiles ruled in favor of the Voyager-Binance deal against the Securities Exchange Commission’s (SEC) opposition.
Voyager’s History
Voyager filed for bankruptcy last summer, along with a host of other crypto firms. Before its collapse, FTX won the initial bid to buy the defunct firm’s assets. However, following the exchange’s collapse, Voyager’s attorneys said at a hearing that there would “be no transaction with FTX, I think that is quite obvious.” In December last year, Binance.US emerged as the ultimate winner of the bid.
USDC Balance Increase
Since January, Voyager’s USDC balance has increased to $460 million. USDC is a dollar-pegged stablecoin.
The crypto community is currently waiting for further updates regarding Voyager’s liquidation process and regulatory intervention.
