Update 8/5/22: The court approved the proposal to restore fund to those who were holding cash in the FDIC insured bank. Funds should become available on Thursday, August 11th. More details in this Voyager blogpost. All other money like crypto, stablecoins, etc, is still up in the air.
Update 7/11/22: You can see Voyager’s update here. Briefly: USD seem like it’ll be recovered completely since they are held separate in a FDIC account (“subject to a reconciliation and fraud prevention process”). Crypto and stablecoins will be distributed pro-rate; we don’t have hard numbers yet on what this means practically:
Under Voyager’s proposed reorganization plan that was presented on Friday, which is subject to change and requires Court approval, customers will receive a combination of the following, with the ability to select the proportion of crypto and common equity they receive, subject to certain maximum thresholds:
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Pro-rata share of crypto;
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Pro-rata share of proceeds from the 3AC recovery;
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Pro-rata share of common shares in the newly reorganized Company; and
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Pro-rata share of existing Voyager tokens.
Update 7/6/22: Voyager has now filed Chapter 11 Bankruptcy which allows reorganizing of debt, meaning they aren’t going out of business but they can shed some debt. Here’s their press release. I’m not an expert on this, but my quick understanding from the release is this: People will lose some percentage of their crypto deposits (including stablecoins), we don’t know how much. Those who had US dollars will eventually get access to all of their funds without losing anything.
Original Post 7/1/22:
Yet another crypto app is having difficulties now, with the Voyager app ‘temporarily’ halting the ability to withdraw funds. The debit card will also stop working, and trading or depositing into the app is halted as well.
They’re also stopping to pay rewards, so any money you have sitting there (until they hopefully begin allowing withdrawals) will not be rewarded. They will give out rewards for June and prior.
The issue revolves around a $350M USDC loan that Voyager granted to Three Arrows Capital which has fallen to liquidation, and more than 15,000 BTC loaned to them as well.
Lots of us have a Voyager account from their $50 or other referral offer or their 9% debit card.
