Cryptocurrency exchange FTX on Friday has proposed a joint plan alongside FTX US owner West Realm Shires as well as Alameda Ventures to provide customers of struggling crypto brokerage Voyager Digital (OTCPK:VYGVQ) with early liquidity. Recall Voyager Digital (OTCPK:VYGVQ) in the beginning of July filed for Chapter 11 bankruptcy shortly after it froze customer withdrawals due to turbulent crypto market conditions. That's on top of its loan exposure to insolvent hedge fund Three Arrows Capital. Under the joint proposal, Voyager Digital's (OTCPK:VYGVQ) bankruptcy investors would be able to "obtain early liquidity and reclaim a portion of their assets without forcing them to speculate on bankruptcy outcomes and take one-sided risks," said FTX CEO Sam Bankman-Fried, who has become a rescuer of certain embattled crypto firms in the face of a market downturn. Furthermore, customers would have the option to transition to FTX with an opening cash balance funded by an early distribution on a chunk of their bankruptcy claims, the company said. FTX explained that participation among customers in the joint proposal is 100% voluntary. If customers choose to engage, they can withdraw their cash immediately, or use it to buy digital assets on FTX's trading platform. The company said it's hoping to close the transaction in early August, subject to Chapter 11 requirements and the need for court approval. FTX did not immediately respond to a re...
