Voyager
While a handful of crypto exchanges and lenders were unable to fulfill withdrawals, there were other firms that found themselves forced to temporarily adjust their withdrawal limits. Voyager stands out as the most notable of that cohort. On June 23, the company said it decided to cut its daily withdrawal limit by more than half, $25,000 to $10,000. That decision came after Voyager revealed it had issued a notice of default to Three Arrows Capital, which owed them around $666 million worth of bitcoin.
Things have only gone from bad to worse for Voyager. On Wednesday, the company announced it had declared chapter 11 bankruptcy and officially disabled all user trading. Under chapter 11, companies are all provided the opportunity to reorganize. Something Voyager will need to do to satisfy its 100,000 creditors. Voyager’s CEO commented on the bankruptcy, saying the company made the decision due to, “the prolonged volatility and contagion in the crypto markets over the past few months,” as well as the stinging defaults from 3AC.
