Last week, Finansavisen wrote that the crypto platform Voyager follows its rival Celsius and stops trading, deposits and withdrawals for its customers.
Wednesday morning comes the news that Voyager has filed for bankruptcy, reports Reuters.
In its Chapter 11 bankruptcy filing, the platform estimated that they have more than 100,000 creditors and somewhere between $ 1 billion and $ 10 billion in assets, as well as liabilities of the same value.
Chapter 11 bankruptcy proceedings in the United States allow companies to prepare treatment plans while they remain in operation.
“The long-standing volatility and fears in the crypto markets in recent months, as well as Three Arrows Capital’s default on a loan from our subsidiary Voyager Digital, require us to take conscious and decisive action now,” said Voyager’s CEO. Officer Stephen Ehrlich said in a statement.
The company has over $ 110 million in cash and owned cryptocurrencies at hand and wants to pay employees in the usual way and continue their primary benefits and certain customer programs without interruption.
The decline in the cryptocurrency market was triggered by the collapse of Terraform stablecoin, and the platform Celsius halted withdrawals. Following this, several platforms have stopped withdrawals to preserve liquidity.
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