Binance.US has decided not to proceed with its planned acquisition of Voyager Digital’s assets worth $1.3 billion due to a regulatory climate that is perceived as hostile and uncertain, reported Reuters.
In legal documents filed on Tuesday, Voyager’s attorneys stated that the company retains all rights regarding a $10 million deposit made by Binance.US in good faith, as well as a reverse-termination fee owed by Binance.US.
“The hostile and uncertain regulatory climate in the United States has introduced an unpredictable operating environment impacting the entire American business community,” a spokesperson for Binance.US said in a statement. “We are focused on creating a safe platform where our customers can participate in the digital asset economy.”
Voyager faces difficulty in raising funds through asset sale after going bankrupt. An agreement with FTX to sell its assets did not push through due to FTX’s collapse in November.
The acquisition of Voyager by Binance.US faced regulatory opposition, leading to a temporary halt by a federal judge last month. The US government was given more time to pursue challenges.
Voyager announced that it will exercise its option to return cryptocurrency and cash directly to customers through its platform, after Binance.US terminated the asset purchase agreement.