Voyager Will Return $270 Million in Customer Funds After Receiving “Better” Offers Than FTX

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Contrary to the investment firm’s continued public statements, beleaguered crypto lender Voyager Digital Holdings says it has received several “higher and better” buyout offers than the one made by AlamedaFTX in July.

The judge presiding over the company’s bankruptcy proceedings in New York recently cleared the company to return $270 million in customer funds held at the Metropolitan Commercial Bank (MCB).

In a Second Day Hearing Presentation on Thursday, Voyager stated that it has received word from as many as 88 interested parties eager to bail out the company from its financial woes and is in “active discussions” with over 20 potentially interested parties.

Read also: What Happens if You Don’t Report Cryptocurrency on Taxes?

In July, Alameda and FTX made one of the most public bids.

Alameda had proposed to Three Arrows Capital that it buy all of Voyager’s assets and outstanding loans except the defaulted loan, then liquidate the assets and distribute funds in USD via the FTX US exchange.

Voyager rejected this on July 25 because it was not “value-maximizing” for its customers.

The company also stated that, contrary to alleged “inaccurate” public statements from AlamediaFTX, it has already received bids through the marketing process that are “higher and better than AlamedaFTX’s proposal.”

Voyager also stated that it had sent a cease and desist letter to AlamedaFTX regarding its “inaccurate” public statements, confirming that AlamedaFTX does not have a “leg up” on other bidders.

Customer Funds Totaling $270 Million Have Been Returned

The news of other potential bidders comes as U.S. Bankruptcy Court Judge Michael Wiles grants Voyager permission to return a portion of its customers’ cash deposits.

According to a Wall Street Journal report on Thursday, Wiles stated that Voyager had provided a “sufficient basis” for its claim that customers should be granted access to the Metropolitan Commercial Bank’s custodial account, which is said to hold $270 million in cash.

Related article: Voyager Digital Files For Bankruptcy In New York

When Voyager filed for bankruptcy on July 5, it had funds in the bank account. However, when the bankruptcy proceedings began, those funds were frozen.

Voyager Digital CEO Stephen Ehrlich stated in July that he planned to return customer funds from MCB once a “reconciliation and fraud prevention process” was completed. The company reportedly requested that the funds in the MCB be released on July 15.

Voyager’s debt is no more than $10 billion from roughly 100,000 creditors, but it is not the only cryptocurrency brokerage, lender, or investment firm struggling for itself and its users. Celsius, Three Arrows Capital, BlockFi, and other companies have been drawn into the ongoing saga.