On July 5, 2022, Voyager filed a proposed stand-alone Plan of Reorganization under Chapter 11 of the US Bankruptcy Code to reorganize the company and return to customers all of their funds. The day after the Voyager filing, one of Voyager’s competitors and largest stakeholders, Alameda Ventures Ltd. and FTX Trading Ltd (AlamedaFTX), controlled by Sam Bankman-Fried, issued a press release that allegedly openly disparaged Voyager with highly misleading statements. Voyager rejected the deal and thus triggered a courtroom and social media battle.
On July 22, Sam Bankman-Fried a/k/a SBF and his companies offered Voyager that AlamedaFTX would take over all of Voyager’s assets and use FTX to sell and disperse them proportionally to users affected by the bankruptcy. Via Twitter, Sam Bankman-Fried explained the offer and argued that Voyager’s customers have “been through enough already” and should be able to claim their assets as soon as possible. Bankruptcy proceedings, on the other hand, could take years. Before customers get “their assets back, they get fucked,” SBF said.
Evidently, Voyager sees the proposal as extremely predatory. In a rejection notice filed with the court, Voyager pointed out that AlamedaFTX violated many obligations to the debtors and the Bankruptcy Court by making its proposal publicly. Voyager would reserve all rights and remedies against AlamedaFTX for this clear and intentional subversion of the bankruptcy process and the damages that customers and other creditors may suffer as a result.
It looks like the former friends from the extremely intertwined US crypto scene are going against each other after the series of collapses. Let’s stay tuned.
