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Jim Cramer Warns Investors Against Binance Says People Might Lose Money ‘Needlessly’

Author: Elena R

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Elena is an expert in technical analysis and risk management in cryptocurrency market. She has 10+year experience in writing - accordingly she is avid journalists with a passion towards researching new insights coming into crypto erena.

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CNBC’s Mad Money host Jim Cramer took to his Twitter handle and warned investors by adding ‘I just don’t want people to lose money needlessly.’ The host was referring to how the SEC was not allowing Binance to close the Voyager deal. 

He wrote on Twitter, “SEC not letting Binance close the Voyager deal.. i think the SEC is VERY worried that Binance will prove to be more chimerical than we think. I reiterate, i do nit like crypto and its defenders are too strident about its need… I just don’t want people to lose money needlessly.” 

Earlier, Reuters reported that the SEC has filed a limited objection to Binance.US’s proposed $1 billion acquisition of Voyager Digital. According to the petition, SEC claimed that the acquisition agreement lacked information about the ability of the cryptocurrency exchange to finalize the deal and sought more details about the nature of the company’s business operations going forward.

Over the summer, Binance took part in the initial auction process by offering to buy the assets for a $50 million fee. Voyager ultimately accepted a comparable offer from FTX, which had substantially raised its first offer of $15 million.

The SEC will likely sue the cryptocurrency exchange, according to attorney John Deaton. Notably, the SEC stated in its filing that it was not satisfied with the disclosure statement provided by Binance.US and questioned how the cryptocurrency exchange intended to finance the acquisition. Attorneys for Binance.US have agreed to submit an amended disclosure statement before the subsequent hearing.

Voyager bankruptcy

In its bankruptcy filing, Voyager Digital cited the unstable market and the unexpected collapse of Three Arrows Capital. The company with its headquarters in the United States, along with its two affiliates, claimed to have between $1 billion and $10 billion in assets and more than 100,000 creditors in a Chapter 11 bankruptcy petition in the Southern District of New York.

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Elena R

Elena is an expert in technical analysis and risk management in cryptocurrency market. She has 10+year experience in writing - accordingly she is avid journalists with a passion towards researching new insights coming into crypto erena.

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