Voyager Digital, a cryptocurrency lender, announced Friday that it would “restore access” to cash deposits on August 11, the first step in returning up to $270 million in fiat currency to its customers.
Voyager Digital blog post and clarifications!
The plan comes after Voyager, in bankruptcy, was granted court permission on Thursday to honor customers’ dollar withdrawal requests from Metropolitan Commercial Bank, where the broker had a deposit account. However, in a blog post, Voyager stated that processing return requests could take 5 to 10 days.
The company, led by CEO Steve Ehrlich, filed for bankruptcy protection in July after suffering significant losses due to the collapse of the cryptocurrency hedge fund Three Arrows Capital and the general decline in the crypto market. Billion-dollar loans in crypto assets were made to it by its customers.
Those tokens remained secured for the time being.
In an attempt to “maximize the value of the cryptocurrency on the platform,” the exchange claimed in the blog post that it is “pursuing a standalone restructuring process.”