On Monday, Voyager Digital (TSX: VOYG), a crypto trading platform , announced that it had raised $60 million in a private placement offering at $2.34 per share or CAD 3.00 approximately. According to the press release, Alameda Research led the offering along with other participants that included Galaxy Digital, Blockdaemon and Digital Currency Group.
The net proceeds from the offering will be used for general corporate purposes. Upon completion of the offering in full, Voyager would have available liquidity of over $225 million, consisting of approximately $50 million in crypto and over $175 million in cash.
"We are excited to announce this round of financing led by some of the largest and most important strategic investors in the crypto industry. The additional capital will support Voyager as we execute on the Company's strategic plan. Deepening our relationships with core leaders in the industry will help us achieve our goals of expanding our staking, rewards and execution programs while assisting with our entry into Web3 and NFTs, all with the vision of bringing the best experience to retail consumers. We are well on our way to achieving our goals by educating individual consumers about our easy-to-use platform,” Stephen Ehrlich, the CEO and Co-Founder of Voyager Digital, commented on the announcement.
Scrutiny by US Authorities
In March, Canada-listed Voyager Digital said that several state regulators in the United States were scrutinizing its services for offering interest-bearing cryptocurrency accounts.
The company has already received or was expecting to get cease and desist orders from the financial supervisors of Indiana, Kentucky, New Jersey and Oklahoma. Additionally, the state securities division of Alabama, Texas, Vermont and Washington issued show-cause orders to the firm.
All of these orders were asserting at the time that Voyager Earn Accounts fall under the category of security and investment contracts, thus violating the state securities regulations.
