With the use of Circle's service, Voyager has begun converting its USDC to fiat money, redeeming $150 million.
According to Arkham Intel, Coinbase transferred $150 million in USDC to Circle, and Voyager has started to convert its USDC assets into fiat money by redeeming $150 million using Circle's service.
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— Arkham (@ArkhamIntel) March 29, 2023
Voyager has begun cashing out its USDC to fiat, redeeming 150M through Circle's service.
The funds were subsequently transferred to Circle, but have not yet been burned.
That day, Coinbase also transferred $150M USDC to Circle, presumably for withdrawal. pic.twitter.com/xfjz5EA1b0
The move comes after Voyager's lengthy battle over its restructuring strategy, which included Binance's offer to purchase the company, as well as recent substantial developments to the stablecoin market, including as USDC's almost-collapse as a result of a run on three traditional US banks.
The SVB issue has reduced the value of the USDC by nearly two weeks. There was a significant reorganization, with many cryptocurrency users turning their attention away from USDC and onto alternative stablecoins.
The US government's request to temporarily postpone Voyager's bankruptcy plan was granted by a federal judge halting the cryptocurrency lender's intended sale to Binance US.
The DOJ's request for a stay of proceedings while the transaction, which had previously been permitted by a bankruptcy court, is appealed and granted by District Judge Jennifer Rearden of the United States District Court for the Southern District of New York. Until the outcome of the appeal in the US legal system, the transaction has been halted.
The court found that the Securities and Exchange Commission and the US Trustee's office had not made a compelling argument for delaying the sales, and that it was the court's duty to quicken the bankruptcy proceedings so that Voyager would get its funds as quickly as possible.
