V Voyager wins auction for assets in bankruptcy bid

On Monday, FTX, a bankrupt criptocurrency lender, said that it had won an auction for its assets, in a bid valued at around $1.42 billion.

FTX's bid includes a fair market value of all Voyager coins, at a to-be determined date, which is estimated to be $1.31 billion at current market prices and an additional consideration estimated to provide $111 million of incremental value, according to Voyager's statement.

The bankruptcy estate will distribute any recoveries on claims against the hedge fund Three Arrows Capital, which it said will be with the bankruptcy estate.

In June, Voyager issued a notice of default to the Singapore-based hedge fund for its failure to make required payments on a loan of 15,250 bitcoins.

Earlier this year, Voyager backed a bailout proposal from FTX, founded by billionaire Sam Bankman-Fried, as a low-ball bid disguised as a white knight rescue and claimed that the plan would disrupt its bankruptcy process.

During the COVID- 19 epidemic, Voyager drew deposits with high interest rates and easy access to loans rarely offered by traditional banks. The slump in the markets has hurt companies and investors.

In its Chapter 11 bankruptcy filing in July, Voyager estimated that it had more than 100,000 creditors and between $1 billion and $10 billion in assets, as well as liabilities of the same value.

Last week, Voyager said that Chief Financial Officer Ashwin Prithipaul was preparing to step down from his role within months of his appointment at the Cryptocurrency lender.