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SEC Interposes in Binance.US Acquisition of Voyager Assets, Questions Legitimacy

The SEC has objected to the acquisition, requesting more information about the legitimacy and contingencies of the deal.

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January 5, 2023

SEC Request More Info on Purchase Adequacy

The SEC has filed a limited objection to verify the adequacy of Binance.US’ acquisition of the Voyager Digital bankruptcy assets. Binance.US’ move to purchase over $1 billion of the bankrupt assets and help make good on Voyager’s customer debts is now paused.

In a court filing from January 4, the SEC objected to the deal's progress based on inadequate information provided regarding Binance.US’ ability “to consummate a transaction of this magnitude” as well as details about the recovery and custody of customer funds plus the rebalancing of Voyager’s portfolio.

“The SEC requests that the Court deny approval of the Motions subject to the Debtors sufficiently addressing the issues raised above and grant such other and further relief that is just and proper,” states the filing.

The SEC has sent its concerns to the counsel of Binance.US, and a revised disclosure statement is set to be filed before the subsequent motion hearings.

In December, the U.S. Committee on Foreign Investment in the United States (CFIUS) also said its security review could delay or block the deal.

Voyager originally agreed to sell its assets to the disgraced FTX exchange after bankruptcy in 2022, but Binance.US seized the moment following the FTX collapse in November.

What is Binance.US:

Binance.US is the American arm of the world’s largest cryptocurrency exchange platform, Binance. Users on the platform can buy, sell, and trade over 60 popular crypto assets, including Ethereum (ETH), Solana (SOL), BNB Chain (BNB), and Bitcoin (BTC).