Voyager Digital issued a default notice to Three Arrows Capital (3AC), a crypto hedge, fund today.
This is after 3AC failed to meet the deadline that Voyager had announced last week for their loan repayment. 3AC currently owes Voyager 15,250 BTC worth around $325 million and $350 million in Circle’s USDC stablecoin.
In last week’s announcement, Voyager disclosed that the crypto hedge fund, 3AC, owes them over $650 million, and up to now they have not repaid any digital assets to them.
Voyager Digital recovery plan
Today’s announcement confirmed that Voyager Digital is planning to recover its digital assets from 3AC and according to the latest reports, the platform is in consultations with the company advisors to assess legal remedies.
Meanwhile, rumors continued to spread that 3AC faced liquidation after the crypto market started to trade sideways with the largest crypto, Bitcoin, dropping below $2000. Bitcoin bloodbath placed many hedge funds and crypto lenders platforms in a compromising situation with the likes of Babel and Celsius suspending their redemptions and withdrawals as a result of liquidity pressure.
After Zhu Su, 3AC co-founder tweeted on June 15 that the company was working with appropriate parties on finding the solutions, he has not spoken a word over the ongoing issue since then.
We are in the process of communicating with relevant parties and fully committed to working this out
— Zhu Su 🔺 (@zhusu) June 15, 2022
Voyager Digital withdrawals remain active
Currently, Voyage Digital withdrawals are still active due to the 15,000 BTC and $200 million cash revolving credit line from Sam Bankman-Fried’s Alameda Research, so far, the platform has used about $75 million on the loan.
‘’We are working diligently and expeditiously to strengthen our balance sheet and pursuing options so we can continue to meet customer liquidity demands.’’
According to the updates, Voyager will continue to access the credit line.