Texas objects to Voyager-Binance.US deal, court filing shows

The Texas Securities Commission and banking sector are opposing a proposed deal between Binance.US and bankrupt crypto lender Voyager Digital. show Court filings from February 24th.

According to documents, Binance.US’ terms of service and restructuring plan contained a number of “insufficient” disclosures, giving unsecured creditors 24% to 26% recovery instead of 51% under the plan. including failing to properly notify you that you may only receive Binance.US announced a deal in December to purchase Voyage’s assets for $1.022 billion.

The filing also states that the company’s disclosure statement, as requested by Binance.US, requires account holders to authorize “personally sensitive information to be transferred to any party anywhere in the world. ” and deprives the account holder of any and all legal obligations. You can count on us for any problems that may arise. ‘ As explained in the rebuttal:

“Accordingly, under these ToUs, customer information may be transferred to virtually any company or individual that Binance.us desires. The customer accepts no liability if any occurs and has the right to dispute this matter.”

Further, the document alleges that the plan “unfairly discriminates against Texas consumers.” Since Texas is not a jurisdiction supported by his Binance.US, customers in that state will have their digital assets held by Voyager for a period of 6 months after signing, during which time Binance.US will hold a license in that state. I ask.

However, according to the counterargument:

“It is almost impossible for Binance.us to obtain a license from Texas SSB and DOB within six months, so holding Texas consumer coins for six months accomplishes nothing. ”

The filing comes just days after the U.S. Securities and Exchange Commission (SEC) filed a petition in bankruptcy court in New York alleging violations of securities laws in several aspects of its restructuring plan. Binance.US and related debtors are under investigation by the SEC for possible fraud prevention, registration, and other violations of federal securities laws.

In the document, the SEC expressed concerns about issues such as the security of assets acquired through the proposed acquisition.

Binance.US did not immediately respond to Cointelegraph’s request for comment.