Voyager Discloses $660M Exposure to Troubled VC Firm 3AC Capital

Publicly-traded crypto platform Voyager Digital has revealed that it may issue a notice of default to the struggling crypto VC, Three Arrows Capital (3AC) for failure to repay its loan.

In an official statement on Wednesday, the company disclosed its more than $600 million exposure to 3AC. Per the report, Voyager’s exposure consists of $350 million worth of USDC and 15,250 BTC worth approximately $311.8 million at the time of writing.

The company pointed out that it had initially requested payment of $25 million in USDC by June 24 and the entire balance of USDC and BTC by June 27. However, while there are still a few days left until the deadline, 3AC has not repaid any of the amounts and failure to do so by the specified dates will result in a default.

“Voyager intends to pursue recovery from 3AC and is in discussions with the Company’s advisors regarding the legal remedies available. The company is unable to assess at this point the amount it will be able to recover from 3AC,” the statement reads.

Voyager Secures $500M Loan From Alameda

Voyager further revealed that it has secured a two-part loan from Alameda Ventures to help meet customer liquidity requirements amid current market conditions.

The loan from Alameda consists of a $200 million cash and USDC-based revolving credit facility and an additional 15,000 BTC revolver worth approximately $306.7 million at current market prices. This brings the total amount to a little over $500 million.

The company noted that it plans to use the proceeds from the credit facilities to “safeguard customer assets in light of current market volatility and only if such use is needed.”

Voyager also disclosed that it currently has approximately $152 million in cash and owned crypto assets, as well as $20 million of cash that can only be used for the purchase of USDC.

The latest development comes just a day after leading crypto exchange, FTX had provided the same type of loan as Alameda to cryptocurrency lender BlockFi.