Binance.US, the US arm of Binance, was preparing for an important purchase in the past period. However, in this case, the stock market faced obstacles from the US Securities and Exchange Commission (SEC). According to the latest reports, it was claimed that the SEC is no longer in trouble with the Binance purchase. Here are the details…
Binance.US will be able to acquire Voyager Digital assets
According to a report published by Bloomberg on March 7, a bankruptcy judge in New York has ruled that Voyager Digital is allowed to sell its assets to Binance.US. Judge Michael Wiles ruled that the two companies involved in the proposal could try to close the deal and transfer the related crypto assets. Voyager will now decide whether to continue the deal after evaluating Binance.US for its level of commitment and regulatory compliance.
If the deal is successful, the proceeds will be distributed to former Voyager customers. With this arrangement, the exchange will give customers approximately 73 percent of the amount they owe due to changes in cryptocurrency market prices. The deal is estimated to be worth more than $1 billion, but other reports by Reuters show that Binance has so far agreed to pay $20 million in cash. As we reported on Kriptokoin.com, Voyager announced on March 1 that 97 percent of customers voted in favor of the plan.
Judge reacts to SEC
Voyager stopped withdrawals in mid-2022 and filed for bankruptcy. At the time, it was one of many firms that failed after the collapse of crypto lending firm Celsius. As for the acquisition of Binance.US, the US Securities and Exchange Commission (SEC) has objected to the deal, which it believes will harm its ability to regulate the crypto industry. Judge Wiles expressed his hostility to the regulator because his complaints were time-consuming. During the current decision he said:
While the regulators ponder whether they believe there are problems with the transaction and the plan, I cannot ambiguously freeze the entire case.
The SEC believes that Voyager’s token should be regulated as a security and Binance.US is not eligible to complete the purchase. The complaints of the institution date back to January. Critics of the SEC’s harsh regulatory policies may see the judge’s outspoken remarks as a recent development. However, the SEC may attempt to appeal the judge’s decision.
Voyager’s VGX takes the leap
Voyager’s VGX token rose in value following the judge’s decision. The cryptocurrency has rallied from $0.3715 to $0.50 in the last 24 hours. The coin is currently changing hands at $0.48, up 24 percent. In the last 24 hours, the transaction volume gained momentum by 115%.
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