Binance.US cites ‘hostile’ Regulator in Cancelling $1.3 Billion Voyager Digital Purchase

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Binance US backed out of the acquisition due to a lack of clear rules in the US.

Binance US, a cryptocurrency exchange founded by Binance CEO Changpeng Zhao to service customers in the United States, said on Tuesday that it has backed out of a US$1.3 billion agreement to acquire failed cryptocurrency lender Voyager Digital, citing a lack of clear rules in the nation for the cryptocurrency business as the reason for the decision.

Binance.US tweeted on Tuesday that it had always hoped to help Voyager’s users get access to their crypto, but that “the hostile and uncertain regulatory climate in the United States has created an unpredictable operating environment that affects the whole American business community.”

On Tuesday, a group representing Voyager’s creditors tweeted that they were “incredibly disappointed” by the decision and that they were “investigating potential claims against Binance.US.”

After a “limited objection” from the U.S. Securities and Exchange Commission in January, the court finally gave Binance.US the green light in March to acquire Voyager’s assets and client base.

The United States Department of Justice expressed opposition to the transaction in March, stating that it should be postponed until legal issues are resolved.

Also Read: Binance US backed out of acquisition due to lack of clear rules in US.

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