Voyager Digital to sell cryptocurrency exchange Coinify for $2M

Cryptocurrency And Mobile Technology

solarseven

  • Voyager Digital (OTCPK:VYGVQ) said Wednesday its indirect unit European Holdings will sell cryptocurrency trading platform Coinify to Ascension for $2M in cash.
  • The deal includes an additional, conditional earn-out payment if Ascension decides to sell Coinify within 3 years of the transaction with VYGVQ, preserving potential upside for VYGVQ.
  • Coinify's platform is separate from the Voyager platform.
  • Voyager purchased Coinify in August 2021; on August 16, 2022,
  • Coinify's sale was approved by the U.S. Bankruptcy Court for the Southern District of New York, which is overseeing VYGVQ's ongoing chapter 11 bankruptcy.
  • The sale of Coinify reduces headcount by 15% and eliminates VYGVQ's ongoing funding requirements for Coinify of up to $500K/month.
  • The sale is considered a related party transaction as Ascension is controlled by Mark Højgaard, Coinify's co-founder and CEO, and Hans Henrik Hoffmeyer, Coinify's co-founder and COO.
  • VYGVQ earlier this month resumed customers' access to U.S. dollar withdrawals.

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