BlockFi CEO Irked by Celsius, Voyager Comparison

Zac Prince told people not to compare BlockFi with Celsius and Voyager.
FTX has acquired BlockFi for $25 million.
Celsius has hired new lawyers to explore its Chapter 11 bankruptcy options, while Voyager explained where customers’ money is held.

BlockFi CEO Zac Prince took his displeasure to Twitter at being placed in the same league with embattled Celsius Network and Voyager Digital.

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As stated in the tweet, people should not put “BlockFi in the same bucket/sentence as Voyager and Celsius.” However, he admitted that two months ago, their situation were similar. In detail, BlockFi has been struggling in many areas and has received a bailout from crypto exchange FTX via a $25 million acquisition.

Someone commented on Prince’s statement, asking, “Isn’t the difference basically [that] one got a bailout while the other two didn’t?”

To this, BlockFi itself responded with a clarification.

Currently, Celsius and Voyager are alleged to be filing for Chapter 11 bankruptcy. For those who are not familiar with the said case, this is more like a restructuring than a formal closure. For its part, Celsius has hired new restructuring lawyers to explore its options.

On the other hand, Voyager has already provided an update to its worried customers regarding their assets. The beleaguered company assured that customers will still regain their funds once the restructuring has been completed.

“USD in your Voyager cash account is held at [the Metropolitan Commercial Bank of New York] (MCB) and is FDIC insured,” Voyager explained. “That means you are covered in the event of MCB’s failure, up to a maximum of $250,000 per Voyager customer.”

However, Voyager iterated that the customers’ money is held at the said bank and not by Voyager itself.

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Jesus Dawal

Jesus Dawal Jr covers news related to the crypto space in Asia and in Australia, although he follows the latest events in the US and Europe as well. He is most interested in the blockchain gaming and regulation aspects of the industry.