Texas authorities dispute Voyager’s disclosure statement in its current form

The Texas Securities Commission (SSB) and the Texas Department of Banking (DOB) have questioned various methodologies and calculations used to estimate the fair market value of crypto assets on failed exchanges. Voyager Digital’s disclosure statement has been challenged in court.

In a petition filed in the US Bankruptcy Court for the Southern District of New York, attorneys for SSB and DOB challenged the order upholding the validity of Voyager’s modified disclosure statement. Voyager Digital filed for Chapter 11 bankruptcy in New York in July 2022 and offered investors a recovery plan.

Texas officials argued that Voyager’s disclosure statement, which claimed creditors could earn a 70% profit, did not explain the methodology used to calculate the coin’s average price, saying: added like

“Debtors (Voyager) have never obtained a license from SSB or DOB and face very hefty fines and penalties for operating without a license. I am not licensed to do so.”

The lawyer also emphasized in court that the cryptocurrency exchange FTX offers a product similar to the Voyager Earning Program.

As a solution, SSB and DOB are seeking a denial of Voyager’s disclosure statement in its current form. In addition, Voyager requires disclosure of the methodology and calculations used to determine the fair market value for collection of funds.

On October 5, FTX US secured the winning bid for Voyager’s assets. According to Voyager, the auction consists of an estimated fair market value of approximately $1.3 billion in cryptocurrency holdings “to be determined in the future” and an “incremental value” of $111 million. I was.

The hearing date for this case is scheduled for October 19 at the time of writing.

Related: Senator Warren Leads Charges Against Texas Crypto Miners Over Energy Consumption Claims

On Sept. 30, SSB, DOB, and the Vermont Department of Financial Regulation opposed a plan to sell stablecoins held by crypto lender Celsius, prompting the company to use the resulting capital to comply with state law. He argued that the business could be resumed in violation of the

Celsius has contacted the US Bankruptcy Court for the Southern District of New York seeking permission to sell its stablecoin holdings reportedly worth $23 million.