Voyager users will require Binance US accounts to receive their funds.

According to court documents, the bankrupt cryptocurrency broker Voyager Digital has proposed a plan for users to reclaim their funds through Binance US.

The early opt-in period began last week, so Voyager users can continue exchanging data to aid Binance US in opening new accounts or connecting existing ones before resolving claims. In the statement, Voyager and Binance US stated that they anticipated the transaction to finalize and payouts to start in March.

However, Binance US warns that because it is unable to create accounts for consumers in jurisdictions where it is not permitted to operate, customers in Hawaii, New York, Texas, and Vermont may have to wait an additional six months.

“To the extent Binance US does not receive the required licensing and/or authorization to operate in the unsupported states within 6 months from the closing of the asset purchase agreement, Voyager will convert the distributions allocable to such customers to cash and will distribute them separately,” Partner Joshua Sussberg of Kirkland & Ellis stated in the legal brief.

The remaining US-based users of Voyager will have to supply confidential info, like their email address, social security number, and birthdate, in order for a Binance US account to be established on their account. Visitors of a claims website created by Voyager can see the value of their possessions as of the date the firm filed for bankruptcy on July 5, 2022.

However, this does not imply that clients are receiving all of their money back.

“Your actual recovery amount will be a percentage of your claim amount, as determined by Voyagers rebalancing,” According to a screenshot in the court document.

The actual recovery will rely on market values, Voyager's Official Committee of Unsecured Creditors indicated on Twitter last month.

“Voyager has a relatively high percentage of altcoins, which have underperformed in the market relative to BTC/ETH and stablecoins,” Twitter posts from the creditors committee. “These crypto movements are the primary driver of any changes to recovery value.”

For instance, the committee stated that if market pricing had been used on December 18, 2022, clients would have experienced a 51% recovery of their assets. The real rewards, however, will vary on the market on the day the sale closes, it was later made clear. That proportion was only intended “for illustrative purposes.”

Voyager consumers believed they would have a comparable payout procedure with FTX US a few months ago, but after Sam Bankman-massive Fried's crypto business sought Chapter 11 bankruptcy relief in November, Voyager restarted the bidding process on its troubled assets.

Voyager Digital filed into bankruptcy in July, owing around $1 and $10 billion to more than 100,000 creditors. A $661 million commitment to the now-dissolved hedge fund Three Arrows Capital was disclosed by the cryptocurrency asset management in June. Three Arrows Capital itself declared bankruptcy on July 2.

After rejecting what it referred to as a “low-ball bid” from FTX in September, Voyager Digital approved the company's $1.4 billion offer to buy its troubled assets. However, because FTX, which comprises West Realm Shires, the FTX entity that won the bidding, has went bankrupt, it is not longer able to finalize the transaction.

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