SEC Intervenes in Binance US’s Purchase of Assets Belonging to Bankrupt Crypto Lender Voyager Digital

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The asset purchase agreement between Binance US and the insolvent cryptocurrency lender Voyager Digital has been interfered with by the U.S. Securities and Exchange Commission (SEC).

The federal securities laws’ anti-fraud and other requirements are the subject of an official investigation, according to the securities regulator.

On Wednesday, the U.S. Securities and Exchange Commission (SEC) submitted a “limited objection” to the asset purchase agreement between the defunct cryptocurrency company Voyager Digital and Binance’s U.S. subsidiary.

The SEC is formally looking into whether the debtors [Voyager Digital] and others broke the federal securities laws’ anti-fraud and other rules.

Voyager Digital is asking for “conditional approval of the Disclosure Statement in support of its Chapter 11 plan… and approval of an asset purchase agreement (APA) with BAM Trading Services Inc. d/b/a Binance.US,” according to the securities regulator.

The regulator highlighted that “the rebalancing of the debtors’ cryptocurrency portfolio” and “how the debtors propose to secure client assets” during plan implementation are not sufficiently addressed in the Disclosure Statement and the APA.

The SEC also stated that its staff informed the debtors’ legal counsel of the regulator’s concerns and that an amended Disclosure Statement will be prepared.

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