Alameda Research, Voyager Digital’s second-biggest borrower, owes the lender $377 milllion according to the bankruptcy filing.
Alameda’s Voyager Debt
After Voyager Digital filed for Chapter 11 bankruptcy on Tuesday, the filings revealed that Alameda Research owes the Toronto crypto lender $377 million. Alameda Research, used by Sam Bankman- Fried (SBF) to manage his assets, is Voyager’s second-biggest borrower, after insolvent hedge fund Three Arrows Capital.
SBF owns crypto exchange FTX, which signed a deal with Voyager for a bailout to the tune of hundreds of millions of dollars. New York District court filings revealed that Alameda’s $377 million loan was borrowed at rates between 1% and 11.5%, with an outstanding balance consisting of a $75 million unsecured loan.
The filing also showed that Three Arrows Capital owes Voyager $654 million, borrowed at interest rates between 3% to 10%. Voyager issued a notice of default to Three Arrows Capital last Monday. But a British Virgin Islands court ruled on Wednesday that Three Arrows Capital needs to liquidate so that its asset sales can be offset against its creditors.
Alameda and Alameda Ventures used to be Voyager’s largest shareholders, owning 11.6% of all outstanding shares. After that press release, Alameda announced a week later that it had returned 4.5 million shares in exchange for no money.
Voyager Digital enabled investors to earn interest on Bitcoin and other cryptocurrencies.
Voyager Share Trading Halted
The Toronto Stock Exchange suspended Voyager Digital share trading on Wednesday. The reason for the suspension was that Canadian regulators needed time to review the company’s listing requirements.
After Voyager’s bankruptcy filing, its share price dropped to $0.27 at the close of Tuesday. Voyager’s shares were trading at $27 in March 2021, and its native cryptocurrency token, VGX, has also taken a massive beating.
VGX peaked in November 2021 but has been in a downtrend since. It’s currently trading at $0.20. The selloff has prompted some investors to consider other best altcoins to invest in.
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