After a failed attempt by cryptocurrency exchange Binance to acquire the company, cryptocurrency lender Voyager Digital stated that customers will shortly receive back around 35 percent of their bitcoin deposits as the business shuts down the US.

At a court hearing in Manhattan, US Bankruptcy Judge Michael Wiles authorized Voyager's liquidation plan, enabling the business to restore around $1.33 billion in cryptocurrency assets to consumers and put a stop to its Chapter 11 reorganization efforts.

Customers might be allowed to withdraw money as early as June 1, according to the official creditors committee of Voyager. Any distribution above the first 35 percent would be based on the outcome of any pending legal action.

In July, Voyager sought bankruptcy protection, claiming the instability of the cryptocurrency markets and the nonpayment of a sizable loan to the cryptocurrency hedge fund Three Arrows Capital (3AC).

During Voyager's bankruptcy, two sales attempts were unsuccessful. It attempted to sell its assets to FTX at first for $1.42 billion, but the agreement fell through when FTX collapsed in November. Binance.US intervened with an offer of $1.3 billion, however on April 25 the sale was canceled due to a ‘hostile and uncertain regulatory climate’.

Hopes for the recovery of Voyager clients are heavily reliant on the outcome of the legal dispute with FTX, which is attempting to recoup $445.8 million in loan repayments made to Voyager prior to FTX's bankruptcy.

Customers' anticipated reimbursement would increase to 63.74 percent if Voyager completely wins the FTX litigation, per Voyager's court documents.

Customers will be repaid by Voyager using the same cryptocurrency they had in their accounts. Voyager will instead reimburse consumers using the stable-coin USDC for deposits held in unsupported cryptocurrencies that are unable to be withdrawn from the company's platform as well as for the company's proprietary VGX token.

After the COVID-19 pandemic caused cryptocurrency lending to surge, Voyager was one of many companies to declare bankruptcy in 2022. Others were Genesis Global Capital, BlockFi, and Celsius Network.