Voyager, a crypto lending firm and brokerage stated the exact amount of crypto reimbursed to customers will “depend on what happens in the restructuring process and the recovery of 3AC assets.”
Voyager has provided an update on its restructuring plan to compensate its customers and resume their account access. The firm clarified that while their USD deposits are safe, they cannot guarantee what portion of their crypto will be returned to customers.
Crypto and the FDIC
Voyager provided a statement Monday assuring customers that their USD deposits would be returned after a reconciliation and fraud prevention process. All the USD deposits are held with the Metropolitan Commercial Bank (MCB) of New York, and it is insured by the FDIC. The insurance will cover up to $250,000 per voyager customer, stated the firm. The insurance however does not cover Crypto holdings on voyage.
Voyager came under FDIC investigation last week for previously marketing to customers that accounts are FDIC insured, even in the event of company failure. Voyager has since updated its website to provide some clarity that this insurance does not, in fact, apply to the collapse of Voyager or its “custodians.” This verbiage change leaves the fate of the customers crypto holdings unclear in the event of the companies insolvency.
Voyager filed for bankruptcy last week and is now working on a restructuring plan. CEO Stephen Ehrlich stated the plan is to “maximize value for all stakeholders.”