• An SEC lawyer has stated that Binance.US and Voyager Digital come under securities regulations.
• Binance.US is attempting to purchase the assets of Voyager Digital, an action which the SEC has objected to.
• The judge overseeing the bankruptcy proceedings criticized the SEC’s objections to the deal and Binance CEO Changpeng Zhao suggested pulling out of it altogether.
William Uptergrove, a U.S. Securities and Exchange Commission (SEC) lawyer, recently made a statement that both parties involved in Voyager Digital’s bankruptcy case come under securities regulations, according to a Bloomberg report on March 3. This means that Binance US must be allowed by the regulator even if all other parties approve of their asset purchase plan for Voyager.
Binance US is attempting to acquire the assets of Voyager Digital, which has been met with objections from the SEC as early as January this year. In addition, there is an ongoing investigation by the regulator against Binance US regarding this matter. Uptergrove also asserted that Voyager’s planned recovery token should be regulated as a security — thus putting it under the SEC’s jurisdiction.
U.S Bankruptcy Judge Michael Wiles criticized the SEC for „stopping everyone in their tracks“ without providing sufficient ways to respond to its concerns during earlier proceedings on March 2nd . When asked for his opinion on whether selling off these assets violated security laws, Uptergrove refused to give a definite answer which did not sit well with Wiles at all..
On March 3rd, following this increasingly complex situation, Binance CEO Changpeng Zhao suggested pulling out of it altogether via Twitter by saying: „maybe we should pull out?“. Despite this suggestion he expressed support forthe deal if it were ultimately permitted in due course of time..
Despite all odds passengers voted overwhelmingly in favor of this plan on March 1st showing strong support from existing customers of Voyager digital services..