A cryptocurrency investor shares that he terribly lost his down payment for his house when the exchange platform, Voyager Digital, filed for bankruptcy.
Crypto trading platforms are having a difficult time these days as digital currency prices have continued to go down, slumping away from their all-time-high figures in 2021.
Most have already suspended the withdrawal functi0n on their platforms as the massive crypto sell-off continues. But the case for the others is worse.
A Crypto Investor and Voyager Bankruptcy
As per a news story by CNBC, the crypto exchange platform, Voyager, filed for Chapter 11 bankruptcy protection last July 6 at the United States Bankruptcy Court of the Southern District of New York.
The news outlet reports that the bankruptcy filing comes after Voyager faced a difficult chapter as it grapples with huge losses.
Nevertheless, the Chief Executive Officer (CEO) of Voyager Stephen Ehrlich says that they still "strongly believe in the future of the industry."
"But the prolonged volatility in the crypto markets, and the default of Three Arrows Capital, require us to take this decisive action," the big boss of Voyager explains in his recent post on Twitter.
And the effect of the bankruptcy trickles down to the users of the crypto exchange platform storing thousands of dollars worth of digital assets in their accounts.
One of the Voyager users, Telvin Hodo, who invested in more than $10,000 worth of various cryptocurrencies, including stablecoins, is now gravely affected by the bankruptcy.
A Crypto Investor Says He Lost House Down Payment
According to the latest report by Futurism, the 29-year-old teacher, Hodo, who uses Voyager for his crypto investments, now loses his down payment for his new house when Voyager got bankrupt.
The crypto investor says Voyager's filing of bankruptcy is "terrible." He further reveals that he could no longer "buy or sell" on the platform. Hodo also admits that he does not know "how long it's going to be before" he could do so.
Futurism reports that Voyager, like other giant crypto platforms, has also temporarily disabled its withdrawals feature, preventing its users from getting their hard-earned money.
Voyager Bankruptcy
It is worth noting that Voyager assures its users that they are not entirely left behind by its latest move to file for bankruptcy.
In fact, the crypto exchange platform said that its customers would be "impaired" by its recent court filing. It vows to give away whatever it recovers from the crypto hedge fund of Three Arrows Capital to its users.
As per a report by Reuters, the attorney of Voyager, Christopher Marcus, also said in its first bankruptcy hearing that its customers have not actually "lost everything" even if the firm has frozen their accounts for now.
Atty. Marcus adds that: "It is not correct to think that there is no hope."
Related Article : Crypto Lender Company Celsius Network Repays $120 Million Loan To Maker
