Voyager Digital submits a Chapter 11 bankruptcy and recovery strategy

Voyager Digital submits a Chapter 11 bankruptcy and recovery strategy

Voyager Digital submits a Chapter 11 bankruptcy filing and offers a recovery strategy.

Voyager Digital has now been added to the increasing list of CeFi companies suffering from exposure to Three Arrows Capital and falling cryptocurrency asset prices.

Voyager Digital, a cryptocurrency exchange, has suspended trading, withdrawals, and deposits for a few days. Voyager Digital has now filed for Chapter 11 bankruptcy in the Southern District Court of New York.

According to Voyager’s Chapter 11 bankruptcy petition, it is liable for between $1 billion and $10 billion worth of assets to more than 100,000 creditors.

After the American vacation, the beleaguered cryptocurrency exchange wasted little time in filing for bankruptcy on July 5. Voyager said that the change is a part of a “Plan of Reorganization” in a statement on Wednesday. When the plan is put into action, customers will be able to access their accounts once more, and Voyager will “restore value to customers.”

In a tweet on July 6, Voyager CEO Stephen Ehrlich said that under its proposed solution, consumers having cryptocurrency in their accounts will receive a mix of cryptocurrency, money recovered from Three Arrows Capital (3AC), common shares in the newly reorganized…