Voyager: Submits Proposed Amendments to Liquidation Proceedings

Voyager said in a post on its social media platforms that on May 27, the liquidation plan administrator submitted a proposed amendment to the liquidation process. Under the amendment, the plan administrator will retain all unsupported Tokens until it can determine if and to what extent they can be liquidated. 

The amendment is based on certain statements made by the SEC. These statements require the Program Administrator to take additional action with respect to certain cryptocurrencies on the Voyager platform. Specifically, the Plan Administrator plans to seek clarification from the Bankruptcy Court as to whether liquidating unbacked Tokens, and if necessary backed Tokens, is consistent with applicable non-bankruptcy laws (e.g., securities laws). 

There is currently no timeline as to when the court will provide clarification. A hearing on the revised liquidation procedures is scheduled for June 6. If the Bankruptcy Court approves the revised liquidation procedures, the Plan Administrator will make initial distributions of Backed Tokens as soon as practicable.