THE DAILY ENCRYPT

October 4, 2022

Crypto Exchange Voyager Gets looked into thoroughly by Regulators

Regulators continue to investigate past transactions of the troubled crypto exchange....
Photo by Jack B

US regulators announced today that they will expand their investigation into Voyager

Regulators continue to investigate past transactions of the troubled crypto exchange.
Texas and Alabama securities regulators announced today that they will expand their investigation into Voyager after new information emerged following the collapse of the exchange.

“What we are seeing now is that many of these crypto-lending companies may not have fully disclosed what their backside with investors’ money was,” Joe Rotunda (director of enforcement at Texas State Securities Board), said Bloomberg . “The risks associated these types of lending practices or other types of transactions they are engaged in.”

According to the news service, state officials are investigating whether Voyager adequately disclosed material information about its loans and creditworthiness of the borrowers.

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After the firms stopped customer withdrawals last month, Texas, Alabama and New Jersey opened investigations.

Voyager filed for Chapter 11 bankruptcy protection on Tuesday. This caused the stock price of the publicly traded company to drop nearly 12%. After its price dropped 26% to $0.26, trading in the stock was stopped on the Toronto Stock Exchange.

Voyager’s implosion could not be stopped by a $500 million bailout provided by Sam Bankman Fried’s Alameda Research. Voyager’s bankruptcy filing revealed Alameda Research owed Voyager 377 million.

Bloomberg reported that regulators were also looking into yield-product offerings by Voyager, Celsius, and whether they were registered securities. Both crypto-firms claimed extraordinary rates of return such as 17% and 12%, respectively.

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These rates are promoted on the websites of both companies.

Amanda Senn, chief deputydirector at the Alabama Securities Commission, stated Bloomberg that she is currently investigating these companies to determine what happened and why. “We are conducting inquiries. Although it’s still in its initial stages, we have to assume responsibility for our investments in our states.

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Felipe Rodriguez

Felipe Rodriguez

Felipe states he has super powers, some argue that case but he does come up with some very clear predictions. Felipe is based in the US and frequently travels to Brazil where he was born. He is a journalist of the future and has a portfolio of crypto projects he has worked with. Felipe always says "The future doesn't scare me as much as the past, crypto is here to stay but only time will tell where it will take us".
Felipe Rodriguez

Felipe Rodriguez

Felipe states he has super powers, some argue that case but he does come up with some very clear predictions. Felipe is based in the US and frequently travels to Brazil where he was born. He is a journalist of the future and has a portfolio of crypto projects he has worked with. Felipe always says "The future doesn't scare me as much as the past, crypto is here to stay but only time will tell where it will take us".

© 2022 The Daily Encrypt. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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