Binance.US gets one step closer to acquiring Voyager Digital, a a crypto company that recently broke up.
According to a report by ReutersVoyager Digital won preliminary court clearance for a potential $1 billion sale of assets to Binance.US, and indicated that it will seek to quickly evaluate the US national security of the proposed agreement.
During a hearing on Tuesday evening, US District Judge Michael Wiles of the bankruptcy court for the Southern District of New York approved the required documentation outlining various features of the proposal to sell Voyager assets but requested that the order documents be amended before he would issue a certificate.
SEC, Other Regulators Object to Proposed Deal
The deal between Binance.US and Voyager includes a $20 million cash settlement and a commitment to migrate Voyager’s clients to the Binance.US crypto exchange, Voyager legal counsel Joshua Sussberg said.
The $20 million deal is unchanged for both parties. On the receiving end, Binance will grow its market share among crypto exchanges and, if Voyager Digital customers agree to the deal, increase users for the platform.
Image: The Daily Hodl
On the other hand, Voyager will have the money it needs to pay off its debt from the restructuring due to the nature of the Chapter 11 bankruptcy. However, this deal can only be done if the creditors of Wiles and Voyager agreed of the deal.
The Securities and Exchange Commission (SEC), state authorities, the US Trustee’s office, and private parties objected to the proposed transaction.
The Committee on Foreign Investment in the United States also stated that it will evaluate the transactions carried out by the lender. The court stated that the panel’s concerns were completely irrelevant for today.
The agreement will not be finalized until a court hearing is held on or around March 2.
What Does This Mean For BNB?
BNB, the native token of the Binance exchange, will surely increase in value if all goes according to plan. Data from CoinGecko show BNB is up 12% as the main cryptos rally since the beginning of the year.
BNB total market cap at $44 billion on the daily chart | Chart: TradingView.com
However, with Zhao also under fire for allegedly manipulation BNB price, we can see a slight flip in investor sentiment.
Dylan LeClairoutspoken critics of Binance and crypto analysts, too searched for how the token seems to resist market dynamics, going so far as to call BNB “disconnected from reality.”
But this fear, uncertainty, and doubt seems to have had no effect on BNB. With the token up more than a percent in the past 24 hours, the BNB rally could continue to make new highs.
However, if CFIUS blocks or delays the acquisition and FUD around BNB continues, the price of the token could tank along with the company’s reputation.
-Featured Photo: Bitnation