CZ Binance considers withdrawing from Voyager acquisition agreement

Binance CEO Changpeng Zhao is considering exiting the acquisition of lending platform Voyager Digital.

CZ Binance considers withdrawing from Voyager acquisition agreement

“Perhaps we should retreat?” is a question that Mr. Zhao wrote on his Twitter with reference to the agreement with Voyager last night 3/3. However, in the next tweet, the Binance boss “remains committed to supporting the agreement and returning the money to Voyager users as soon as possible, if the deal is closed.”

Since Binance.US Reaches Agreement to Acquire Voyager for $1 Billion In December 2022, a series of US regulators protested. Last month, The US Securities and Exchange Commission (SEC) and the New York state government both spoke out that the US branch of Binance exchange shows signs of violating the laws of the country of flags. The commission further asserted that Voyager’s VGX token is a security contract, thus compensating users for an unauthorized sale and transfer of securities.

Less than a month ago, the SEC was involved in the above transaction, but it was because concerned that Binance.US does not have enough financial resources. In addition, the New York Department of Financial Services and the New York State Attorney General also accused Voyager of illegally doing business here.

In another notable development this week, Voyager just added two more provisions to its bankruptcy filing. In it, it is proposed that the United States and regulators cannot allege that the restructuring transaction conducted by Voyager violates any domestic rules, nor is it entitled to impose a position against them. related parties.

Mr. Zhao’s thoughts at the beginning of the article come a few days after several US Senators, representing both Democrats and Republicans, sent letters asking Binance and Binance.US to explain their financial situation and how to regulatory compliance.

Accordingly, Senators Elizabeth Warren, Chris Van Hollen and Roger Marshall accused Binance of being “a hotspot for illicit financial activity by facilitating over $10 billion in dirty money and covering up evaders.” sanctions”. However, both Binance and Binance.US have confirmed that they will soon respond to the lawmaker’s request.

In a recent Twitter discussion, Zhao emphasized that he is spending 80 to 90 percent of his time working with management. “Besides the agencies that are friendly to the exchange, there are also many managers who have a hostile attitude against us” – CZ said.

On the other hand, at a recent Voyager Digital bankruptcy court, an SEC official commented that “Binance.US is an unregistered stock exchange“to this agency.

As you know, Voyager is a “wound” of the crypto market in 2022. The platform filed for bankruptcy in Julyafter being unable to endure due to association with the collapse of the Three Arrows Capital fund. OLDthe original company was resell to FTXBut FTX then also went bankrupt in November and returned to Binance.US with a value of 1 billion USD.

Since the recent series of historic crashes, Binance has gradually “dominated” the crypto market, with more than 60% of the market share, according to data from CryptoCompare. That’s why US officials are increasingly cautious and tighten the law of the crypto industry in general and Binance in particular.

The closest is case targeting Binance-branded stablecoin BUSDcontinue to use the allegation of securities to pressure the management unit of BUSD is Paxos must stop releasing.

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