SEC Objects to Binance.US’ $1B Acquisition of Voyager Digital Assets

• Voyager Digital had accepted Binance.US’s bid to purchase its assets for over $1 billion, but the Securities and Exchanges Commission (SEC) has now objected to the deal.
• The SEC raised some concerns about the Binance takeover and asked for more clarification on the deal, such as how the crypto exchange planned to compensate the users of Voyager Digital who still have funds stuck on the platform.
• Furthermore, the SEC has asked for clarification about how the crypto exchange will operate once it takes control of Voyager’s assets and what it would do if it is unable to close the deal by the April 18 deadline.

Voyager Digital, a bankrupt crypto lender, had accepted Binance.US’s bid to purchase its assets for over $1 billion, but the Securities and Exchanges Commission (SEC) has now objected to the deal. This had come through after the collapse of FTX, the exchange that was originally accepted to acquire the lender’s assets. A court hearing was scheduled to hold on Thursday, January 5, 2023 to determine the fate of the acquisition.

The SEC raised some concerns about the Binance takeover and asked for more clarification on the deal. Specifically, the SEC wanted to know how the crypto exchange planned to compensate the users of Voyager Digital who still have funds stuck on the platform. The regulatory watchdog also raised objections about the ability of Binance.US to finance an acquisition of this magnitude, and asked for clarification about how the crypto exchange will operate once it takes control of Voyager’s assets.

Furthermore, the SEC has asked for clarification about what the crypto exchange would do if it is unable to close the deal by the April 18 deadline. This is an interesting fact since subject to court approval, Binance.US would actually have to complete the purchase by April 18, four months from now.

The SEC filing of a limited objection motion against the proposed acquisition of Voyager Digital assets by Binance.US has caused some uncertainty in the crypto community, as the fate of the deal is now in limbo. The court will now have to make a decision on the objections raised by the SEC and determine whether the deal should go through or not.