TSX, MX suspend floundering crypto firm

Following that move, the TSX immediately suspended trading in the firm’s shares and said it’s reviewing the company for possible de-listing under its expedited review process.

The Bourse de Montréal also suspended trading in Voyager Digital options.

The bankruptcy filing by Voyager Digital comes amid ongoing turmoil in the crypto space.

“While I strongly believe in this future, the prolonged volatility and contagion in the crypto markets over the past few months, and the default of Three Arrows Capital on a loan from the company’s subsidiary, Voyager Digital, LLC, require us to take deliberate and decisive action now,” said Stephen Ehrlich, CEO of Voyager, in a statement following the bankruptcy filing.

“This comprehensive reorganization is the best way to protect assets on the platform and maximize value for all stakeholders, including customers,” he added.

Voyager said approximately US$1.3 billion worth of cryptoassets are held on its platform.

The proposed reorganization, which requires court approval, could offer the firm’s customers a mix of a portion of any proceeds that may be recovered from the hedge fund, Three Arrows Capital — which defaulted on a US$650-million loan from Voyager — along with common shares in the newly reorganized company and Voyager tokens in exchange for their crypto holdings on the platform.

The company said it has over US$110 million of cash and cryptoassets on hand to finance operations, along with more than US$350 million of cash backing clients’ accounts.

Alongside the bankruptcy filing, the company also appointed four new independent directors.

Source link

What do you think?

Written by Bitcoin

Analysis: Twitter battles India for control of social media content

Animals Are Increasingly Being Teased and Tortured on Social Media, According to New Report