Voyager Digital filed for Chapter 11 bankruptcy on July 5, 2022, which allows for a reorganization of debt under the protection of the bankruptcy court.
To file a claim against Voyager, creditors must submit a Proof of Claim form by a specified deadline, which is typically set by the bankruptcy court.
The initial recovery amount for customers is approximately 35.72% of their total claim, based on the valuation of crypto assets in their portfolios as of the bankruptcy filing date.
Claims can be filed online through the Voyager platform, where users must confirm their identity and claim details using the email associated with their Voyager account.
In the event of a complex claim, creditors may request that Voyager file the Proof of Claim on their behalf, though they must provide sufficient reasoning to the court.
For unsupported tokens, customers can choose to receive their initial recovery in cash, but this amount is subject to market fluctuations and liquidation costs.
A late Proof of Claim can be filed under extenuating circumstances, but strict criteria must be met for the court to accept it.
The claims process is overseen by a bankruptcy trustee, who is responsible for managing the debtor's assets and ensuring fair distribution among creditors.
Creditors may need to provide detailed documentation, including account statements and transaction records, to support their claims.
Tax implications arise from the bankruptcy proceedings; customers may be eligible to report and claim tax losses based on the value of their assets as of the bankruptcy filing date.
The recovery of assets may take time, as the bankruptcy process involves evaluating assets, settling debts, and distributing funds according to legal guidelines.
The specific details of how claims are processed can vary depending on the jurisdiction and the unique circumstances of the bankruptcy case.
Voyager's bankruptcy plan must be approved by the court, which includes a comprehensive overview of how assets will be distributed to creditors and what recovery methods will be used.
Claims can sometimes be disputed, and creditors may need to engage in legal proceedings if their claims are contested by Voyager or other parties involved.
Real-time updates on claim status are often provided through an online tracking system established by Voyager, allowing creditors to monitor their recovery process.
The initial recovery is expected to be paid out within 30 days after the claims process is initiated, depending on approval from the bankruptcy court.
The total recovery amount may vary based on the overall assets available for distribution, including cash and crypto holdings.
The bankruptcy proceedings are subject to public records, where interested parties can access court dockets and filings for transparency.
Claimants should stay informed about any changes in the bankruptcy process, as new developments can affect recovery timelines and amounts.
In some cases, creditors may find it beneficial to consult with legal or financial experts to navigate the complexities of bankruptcy claims and maximize their potential recovery.