Crypto Broker, Voyager, has decided to continue cash withdrawals in its application. Users will be able to make cash withdrawals from the app, this news comes after Voyager’s transactions, deposits, withdrawals and reward rewards were suspended for more than a month.
The cryptocurrency lender has been trying to restart customer access to withdrawals since August 11, according to the blog Position from Voyager. The platform earlier filed for bankruptcy in July and received court approval earlier this month.
This approval meant that the lender could begin returning cash to its customers, which was held in a deposit account at the Metropolitan Commercial Bank. Voyager had faced massive losses due to the collapse of crypto hedge fund Three Arrows Capital.
Voyager said customers with US dollars in their accounts will be able to withdraw up to $100,000 in a day from next week. These funds will be available to customers in 5-10 business days. That announcement came after a judge ruled this week that the crypto lender could return $270 million in customer funds held at Metropolitan Commercial Bank in New York.
Crypto Lender’s Reorganization Policy
Voyager’s reorganization process includes “simultaneously pursuing a standalone restructuring process and a possible sale of the company.” According to the blogpost, the court approved Voyager’s bidding procedures, which will be used to regulate the entire sale process.
Bids are expected to be made towards the end of this month. In the event of a sale hearing, it could be held early next month. October 3rd will be the deadline for customers who are supposed to file claims against the crypto lender, it also includes claims for possession of cryptocurrencies.
Former Voyager executives Shingo Lavine and Adam Lavine had suggested the lender suspend lending operations and restart live trading.
IT would also mean issuing a recovery token to its customers as a method of holding them back. It is now clear that the cryptocurrency lender has decided to go ahead with its original recovery plan.
Crypto Lender Voyager rejected the takeover offer
Crypto billionaire Sam Bankman-Fried had previously offered to buy Voyager’s assets for cash at market value. It offered to enable customers to receive their share of claims by opening a new account with FTX.
Voyager is rejecting this offer saying it was a low liquidation offer, mainly citing concerns about not “maximizing the value” of the deal for its customers. The cryptocurrency lender’s attorney for Voyager told the court that the company has received multiple offers for its assets, which are excessive compared to the offer from FTX and Alameda.