Voyager Digital to Enable Cash Withdrawals from 11 August 2022
Voyager Digital crypto exchange received the approval of the court to release $270 million in cash deposits. Starting on 11 August 2022 (Thursday), cash withdrawals will open to the platform's users.Users can withdraw up...
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Voyager Digital crypto exchange received the approval of the court to release $270 million in cash deposits. Starting on 11 August 2022 (Thursday), cash withdrawals will open to the platform's users.
Users can withdraw up to $100,000 in cash using an automated clearing house transfer.
The Voyager team released the following statement on their blog, affirming the opening of cash withdrawals:
"We anticipate resuming access to the Voyager app for cash withdrawals only, starting on Thursday, August 11th. Customers with cash (US dollars) in their accounts will receive an email with more details before cash withdrawal access in the app becomes available.
"We anticipate customers will receive their funds in about 5-10 business days after making their requests.
"Requests will be processed as quickly as possible but will require some manual review, including fraud reviews and account reconciliation, and timing will depend, in part, upon the individual banks to which customers transfer their cash.
"Once cash withdrawals are enabled, customers can withdraw up to $100,000 via the app/ACH in a 24-hour period."
source: voyager
Stephen Ehrlich's $30M Profits
According to CNBC, Voyager's CEO Stephen Ehrlich earned millions of dollars from selling the company's stocks in February and March 2021. Voyager's stock was trading at 7 cents in 2020 before climbing over $25 in 2021.
Voyager was able to go public following a reverse merger deal with UC Resources Ltd on Canada's exchange.
It has been estimated that Ehrlich sold just under 2 million stocks from February to March 2021 in 11 different sales. Ehrlich earned around $31 million from the sales.
The top transactions (totalling 1.4 million stocks) were tied to a $50M secondary offering by Stifel Nicolaus.
The Federal Reserve and the Federal Deposit Insurance Corp (FDIC) warned Voyager that it may have misled clients by indicating clients' funds are insured by the government.
The FDIC said Voyager had an account at Metropolitan Commercial Bank, but clients that invested via Voyager's platform were not covered by the FDIC. In a released statement, the regulator said the following:
''Based on the information gathered to date, it appears that these representations likely misled and were relied upon by customers who placed their funds with Voyager and do not have immediate access to their funds."
This article was written by Matti Williamson at www.financemagnates.com.Why this matters
This cryptocurrency story adds another data point to the current market tape and is useful when read alongside nearby source coverage.
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