FTX wins bid for Voyager digital assets valued at over $1B

According to reports emerging in recent hours (and confirmed in a press release), Voyager Digital has officially completed its bidding process. Reports in recent weeks have revealed that the flagship exchange was in the bidding mix with rivals Binance and CrossTower, all three of which are believed to be in the final say on Voyager assets – and each of which is believed to be offering special packages in the bidding process.

As FTX moves higher, let’s see what implications this purchase may have going forward.

FTX and purchases

FTX has long pursued a ‘growth by acquisition’ model with mixed results. The company is currently in the process of acquiring CeFi crypto lender BlockFi, which it wants to avoid the same fate as competitor Celsius. FTX’s US division is looking to acquire BlockFi, and now Voyager Digital can add it to the list of new assets to build FTX’s rolodex. While the previously mentioned Binance and the lesser-known exchange Cross Tower were said to be in the mix, it was FTX that made the most interesting bid – despite rumors that Binance’s offer included a large sum of money.

Rumors have swirled around the deal closing in recent days. Commentators suggest FTX will spend $50 million in cash in the auction, and the company wants existing Voyager customers to move onto the FTX platform — they can claim a pro rata share of the owed coins from their existing Voyager accounts. If and how that will be done remains to be seen. According to the press release, FTX’s winning bid is valued at approximately $1.4B.

Voyager Digital (VOYG) is traded on OTC market, TSX, and has seen value dilution commensurate with the platform's downfall.  | Source: TSX: VOYG on TradingView.com

Where things go

The closing of the deal will allow FTX to complete the acquisition of the Voyager assets, but the timeline surrounding these proceedings remains unclear. Voyager can now move forward with a Chapter 11 filing and seek to reconcile debtors and former customers to some extent — but certainly not completely. However, FTX will see all Voyager assets and client accounts move under their umbrella.

The move could be seen as a win for FTX, which submitted Voyager’s digital bid test in July without any drag.

Featured image from Pexels, Charts from TradingView.com
The writer of this content is not associated or affiliated with any of the parties mentioned in this article. This is not financial advice.
This op-ed represents the views of the author, and may not necessarily reflect the views of Bitcoinist. Bitcoinist is an advocate of creative and financial freedom alike.

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