Binance.US has withdrawn from its planned , citing the "hostile and uncertain" regulatory climate in the United States.
Voyager, which filed for bankruptcy in 2022, will now distribute cash and crypto directly to its clients through its own platform. In the wake of the collapse of the FTX deal, Voyager struck a $1 billion buyout agreement with Binance.US. However, the acquisition , including the Securities and Exchange Commission (SEC) and U.S. Attorney Damian Williams.
Despite these challenges, the deal , but has now been terminated from the end of Binance.US.
https://t.co/AZwoBOgsqS has made the difficult decision to exercise its right to terminate the asset purchase agreement with Voyager.— Binance.US ðºð¸ (@BinanceUS) April 25, 2023
While our hope throughout this process was to help Voyager's customers access their crypto in kind, the hostile and uncertain regulatory climate…
Voyager initially filed for a in July 2022 (approved March 7, 2023), after crypto hedge fund Three Arrows Capital defaulted on a $650 million loan. The company then decided to auction off its crypto assets as part of its restructuring plan, with . When FTX's implosion forced Voyager to seek a new buyer, the company entered into negotiations with Binance.US.
Binance CEO Changpeng "CZ" Zhao has previously hinted that the company's sudden decision may be due to regulatory pressure.
"While our hope throughout this [acquisition] process was to help Voyager's customers access their crypto in kind, the hostile and uncertain regulatory climate in the U.S. has introduced an unpredictable operating environment impacting the entire American business community," a spokesperson from Binance disclosed.
Voyager announced on Twitter that it had from Binance US "terminating the asset purchase agreement." Although the announcement was "disappointing" for Voyager, the company assured its customers they would still receive their cash and crypto through a "direct distribution" via the Voyager platform.
Voyager's Committee of Unsecured Creditors also expressed disappointment upon learning of the termination of the deal with Binance.
"The Committee is incredibly disappointed with this decision and is investigating potential claims against Binance US," the account tweeted.
With Voyager now set to directly distribute cash and crypto to its clients, the future of the company remains uncertain.
Binance.US, meanwhile, has been developing new integrations to expand its services. The U.S. arm of the global exchange recently announced a partnership with Unstoppable Domains to offer web3 domain names on Polygon, patterned after its brand (with a .BinanceUS TLD).
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