Bankrupt crypto lender Voyager Digital LLC (OTC:VYGVF) is one step closer to a possible lifeline as its proposed deal to offload some of its assets to Binance US moves forward.
What Happened: According to a report by Reuters, Voyager Digital received initial court approval on Tuesday to proceed with a proposed $1 billion sale of its assets to Binance US. The lender is striving to expedite a U.S. national security review of the deal to ensure its success.
U.S. Bankruptcy Judge Michael Wiles has given Voyager the green light to enter into an asset purchase agreement with Binance.US and to seek creditor approval for the sale via a future court hearing.
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At Tuesday's court hearing, Voyager attorney Joshua Sussberg stated that the company was acting on concerns about potential national security risks raised by the US Committee on Foreign Investment in the United States (CFIUS) over the holiday period. He also disclosed that Voyager is determined to address any obstacles that might lead CFIUS to oppose the transaction.
"We are coordinating with Binance and their attorneys to not only deal with that inquiry but to voluntarily submit an application to move this process along," Sussberg said, as quoted by Reuters.
Price Action: BTC was trading at $17,463 up 1.49% in the last 24 hours, according to Benzinga Pro.
Disclosure: Benzinga CEO Jason Raznick is a member of the unsecured creditor committee in the Voyager Digital bankruptcy case.