Alameda Ventures saves Voyager with $ 200 million and $ 15,000 BTC

Alameda Ventures saves Voyager with $ 200 million and $ 15,000 BTC

Apparently, Voyager Digital came out of the woods. The company ran into liquidity problems when Three Arrows Capital failed to repay their huge loan. Welcome to another chapter of the spiral of crypto death caused by the collapse of Terra / Luna. Who came to the rescue this time? Another company is Sam Bankman-Fried, Alameda Ventures. Does this man save cryptocurrencies or take complete control of the industry?

U a recent press release, Voyager Digital announced that it has “entered into a definitive contract with Alameda Ventures Ltd. in connection with the previously announced credit line, which aims to help Voyager meet customer liquidity needs during this dynamic period. ” That is one way to express it. The company received “$ 200 million in cash and a USDC revolver and a 15,000 BTC revolver.”

As a reminder, yesterday it turned out that FTX is also owned Bankman-Fried, saved BlockFi with $ 250 million. We then described the situation as follows:

“Over the last few weeks, the crypto market has been on a downward trend. The effect of the Terra / Luna extinction infection has shaken every company, especially those that have offered returns on cryptocurrency deposits such as BlockFi and Celsius and hedge funds such as Three Arrows Capital. The problems of these companies and the possible liquidation of assets, in turn, have brought the crypto market into even greater turmoil. ”

The Voyager case fits that description.

Sam Bankman-Fried’s Loan To Voyager, The Conditions

Rumors were already spreading. On June 16, analyst Dylan LeClair tweeted, “There is speculation here, but in its quarterly report, Voyager lent $ 320 million to a Singapore-based entity called ‘Counterparty b.’ was 3AC and if so, how much of a blow to Voyager? ”The answer came faster than anyone thought.

In a press release, Voyager explained the loan:

“As previously revealed, credit line revenues are intended to protect clients’ assets in light of current market instability and only if such use is necessary. In addition to this facility, as of June 20, 2022, Voyager has approximately $ 152 million in cash and crypto assets owned, as well as approximately $ 20 million in cash that is limited to the purchase of USDC. ”

The loan comes with “certain conditions”, including:

  • “No more than $ 75 million can be withdrawn in any current 30-day period.”
  • “The company’s corporate debt must be limited to approximately 25 percent of the users’ assets on the platform, less than $ 500 million.”
  • “Additional sources of funding must be secured within 12 months.”
Voyager Digital price chart on OTC | Source: TradingView.com

Right now it’s all about Three Arrows Capital

A press release confirms rumors that the Singapore-based entity called “Counterparty b” was a 3AC. “Voyager has also announced that its operating subsidiary, Voyager Digital, LLC, may issue a default notice to Three Arrows Capital (” 3AC) “for non-repayment of the loan.” In a recent article, our sister page Bitcoinist broke the hedge fund situation:

“The crypto fund was directly at the center of the accident on the moon with an exposure of more than 200 million dollars, and it was speculated that it would amount to as much as 450 million dollars. At first, it seemed that the company was recovering from the collapse of the Moon, but it will soon be obvious that 3AC is in a more dangerous position than investors thought. “

The Voyager situation makes this even more obvious. “3AC’s exposure consists of 15,250 BTC and 350 million USDC.” So Alameda credit covers most of that. However, what did they have to give in return? Formally, “Alameda currently indirectly holds 22,681,260 ordinary shares of Voyager (” ordinary shares “), representing approximately 11.56% of the outstanding ordinary and variable voting shares.” If all goes well, Voyager has no reason to worry. However, what if it is not?

Anyway, for those who like gossip, here’s a story told by Voyager:

“The company filed an initial request to repay $ 25 million by June 24, 2022, and then requested repayment of the entire balance of USDC and BTC by June 27, 2022. None of these amounts have been recovered, and 3AC has failed to repay any amount requested by these stated dates will constitute a default event. Voyager intends to continue its 3AC recovery and is in talks with the company’s advisers regarding available remedies. ”

Answers and conclusions

The crypto industry as a whole is in a precarious situation. And at the center is one question, does Sam Bankman-Fried control the chaos or take complete control of the industry?

Featured Image by Sebastian Herrmann on Unsplash  | Charts by TradingView



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