When can you withdraw funds?

Voyager Digital, once mired in bankruptcy, has been very successful in its recovery efforts. The company has collected $484.35 million in settlements, primarily with FTX, which is a critical juncture in its efforts to repay creditors.

This significant sum, derived primarily from the FTX settlement, is approximately 25% of Voyager's creditors' total claims.

Voyager plans for the next level of payment

In bankruptcy proceedings, Voyager's plan administrator Paul Hege announced the settlements made by FTX, D&O Insurance and Three Arrows Capital. Therefore, a plan is made to pay these funds properly.

Amid turmoil in the cryptocurrency sector, Voyager's financial troubles became public in July 2022, leading to a bankruptcy filing.

In the year This saga took a dramatic turn in October 2023 when regulators indicted former CEO Stephen Ehrlich for fraud. The allegations brought by the Commodity Futures Trading Commission (CFTC) revealed the worst side of the mismanagement. They said Ehrlich's actions exacerbated the platform's collapse, causing significant investor losses.

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However, the losing team showed resilience. Beyond the FTX settlement, the company also has large claims in the Three Arrows Capital litigation, totaling about $675 million. Of this, Voyager's direct share is $20.43 million, which reflects efforts being made to restore lost assets.

What's more, the return of customer opt-outs in June 2023 has made a big difference. It allowed users to recover more than $250 million in one month, demonstrating renewed confidence in Voyager's operations.

The company expects additional fees from future asset forfeiture and litigation. A known settlement with D&O insurance will contribute at least $14.35 million to the lender's compensation.

Operational challenges persist, particularly with unclaimed funds. Voyager reported nearly 270,000 uncashed checks, totaling $17 million. Most are under $25. The organization announced an April 20 deadline to claim these funds, stressing the need for timely action.

“I encourage all lenders to submit unpaid checks or request reissue of checks if necessary by April 20, 2024. Any original distribution checks outstanding on April 20, 2024 will be canceled and considered unclaimed.” he said.

The company's journey has been plagued by security issues, highlighted by a significant data breach during bankruptcy proceedings. This breach exposed customer data, fueling concerns about data security and privacy.

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Voyager engaged experts to investigate the scope and origin of the breach.