Cryptocurrency Exchange Binance May Have Troubled Acquisition of Voyager!

In a recent notice, US officials indicated that Binance’s acquisition of Voyager may require review by the United States Foreign Investment Committee (CFIUS).

United States Foreign Investment Committee May Want To Examine Binance’s Acquisition of Voyager

If CFIUS determines that one or more of these transactions is subject to its jurisdiction and poses a national security risk, it will analyze the risks associated with that transaction.

NEW: US indicates Binance acquisition of Voyager assets out of bankruptcy may be reviewed by CFIUS over possible national security concernshttps://t.co/seElcEYReI pic.twitter.com/Y6Dx9fxdtY

— kadhim (＾ｰ^)ノ (@kadhim) December 30, 2022

When a foreign investor proposes an acquisition or merger that involves control of a US-based company, it should first be vetted by CFIUS to ensure that there are no national security concerns for the US. This process is voluntary and can take from 30 days to a year, depending on the transaction in question.

The Committee also has the power to block such transactions that it deems harmful to US interests should the negotiations fail.

CFIUS plays a crucial role in protecting US technology, intellectual property and critical infrastructure from abuse by parties acting against US interests, whether foreign or domestic.

bitcoin Binance.US, the American branch of the stock exchange Binance, announced on December 19 that it had purchased the assets of Voyager Digital for $ 1.022 billion, in the hope that it would offer Voyager customers an opportunity to access their funds.

Binance kicked off the deal by making a $10 million payment. The total payout is at the level of $20 million. The company’s debt to its customers accounts for the vast majority of the total amount.

A settlement was made with FTX after Voyager filed for bankruptcy in July, but FTX later filed for bankruptcy itself.

*Not investment advice.