$1B Crypto Deal Gets Go-Ahead Despite US Government's Objections

Zinger Key Points
  • Federal judge dismisses U.S. government's objections.
  • The judge said the approved deal does not violate any laws.

A bankruptcy judge has given the green light for Binance.US to acquire Voyager's assets for $1 billion.

This decision was made despite the U.S. government's attempt to halt proceedings pending appeal.

U.S. Attorney Damian Williams argued the deal should be altered or dismissed because it would absolve Voyager and its staff of any violations of tax or securities law.

Judge Michael Wiles of the Southern District of New York disagreed, stating that the approved deal does not have such implications.

Furthermore, any delay would harm Voyager clients who have been unable to access their cryptocurrency since the bankruptcy was announced in July 2022.

Also read: Say Goodbye To High Fees And Slow Transactions With ARB Token's Decentralized Power

Wiles criticized the government filings, saying that they "exaggerate and misrepresent" his actions and relied on "hyperbole or 'straw man' arguments."

The provisions in the deal do not prevent regulatory action, including stopping the sales and distributions of cryptocurrency as outlined in the plan, the judge said. 

He also emphasized that any delay would be detrimental to Voyager's clients.

As part of a separate agreement with Voyager, the Binance.US acquisition, originally scheduled to take effect on March 15, has been extended to March 20.

Read next: $2.2 Billion Gone? FTX Founder Bankman-Fried And Colleagues Receive Massive Sum

Disclosure: Benzinga CEO Jason Raznick Is a member of the unsecured creditor committee in the Voyager Digital bankruptcy case. 

Photo via Shutterstock. 

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