Voyager Digital Recovers $484M From FTX, 3AC Settlements

Voyager Digital has recovered $484.35 million through settlements from FTX, 3AC, and Directors and Officers (D&O) insurance.

Some $450 million of the funds came from a settlement from FTX according to a recent filing. It comes at a time when FTX founder Sam Bankman-Fried is appealing his 25-year prison sentence.

Voyager filed for Chapter 11 bankruptcy in July 2022 following the collapse of LUNA.

The settlement, which is expected to be issued soon, accounts for 25% of Voyager creditors' claims.

A claim of $675 million has also been obtained by Voyager from its litigation with 3AC. $20.43 million of this claim represents Voyager's share of the initial distribution.

D&O's settlement stands at $14.35 million. The administrator expects more payments to be disbursed over the next few years.

Voyager still faces logistical obstacles including 270,000 uncashed checks totaling $17 million. A deadline of 20 April has been set by Voyager, after which the checks will be void.

The firm's bankruptcy proposal was approved by the United States Bankruptcy Court for the Southern District of New York on 17 May 2023.

In October 2023, Voyager Digital's co-founder Stephen Ehrlich was met with charges from the Commodity Futures Trading Commission (CFTC) for alleged fraud.