Voyager Digital issues notice of default to Three Arrows Capital

Voyager Digital, a crypto exchange, has sent a notice to Three Arrows Capital (3AC), for failing to pay its loan of 15,250 Bitcoin (BTC), and 350 million USD Coins (USDC), disclosed in a previous statement.

Voyager published a market update, noting that the exchange is currently looking into “legal solutions” with its advisors. The exchange also stated that it intends to recover its funds from 3AC.

Voyager also revealed that it had $137 million in crypto and cash as of June 24, 2022. Voyager also assured users that it will continue to operate and fulfil their orders.

To help stabilize the company’s 3AC exposure, Moelis & Company was appointed as its financial advisors. Stephen Ehrlich, Voyager CEO, stated that the team is currently attempting to strengthen its balances and explore other options to meet the liquidity needs of its users.

Voyager has noted that it has access the $500 million funds under its loan agreement with Alameda Research. The firm claims that it has accessed funds in excess of $75 million from Alameda.

Related: SEC’s Hester Perce is against crypto bailouts — SBF did not get the memo

Voyager set 3AC deadlines last week for repayment of USDC and BTC loans. Last Friday, the firm demanded $25 million in payment and requested that the entire balance be paid Monday. 3AC failed to meet the deadlines.

Voyager’s share prices plummeted 60% on Wednesday as crypto stocks plunged. Voyager cut its withdrawal limit to $10,000 the next day amid ongoing issues with 3AC.

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Eileen Wilson

Eileen Wilson –Technology and Energy My Name is Eileen Wilson with more than 5 years of experience in the Stock market industry, I am energetic about Technology news, started my career as an author then, later climbing my way up towards success into senior positions. I can consider myself as the backbone behind the success and growth of topmagazinewire.com with a dream to expand the reach out of the industry on a global scale. I am also a contributor and an editor of the Technology and Energy category. I experienced a critical analysis of companies and extracted the most noteworthy information for our vibrant investor network.

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