After making a bid to acquire bankrupt crypto lender Voyager Digital following the implosion and bankruptcy filing of FTX Derivative Exchange, CrossTower is considering other crypto firms that it would purchase.
The company’s Chief Executive Officer (CEO) Kapil Rathi said that CrossTower is considering crypto firms that have good customers and a good balance sheet even in the face of the crispy crypto winter.
“We’re in a great place to either acquire entities who have a good set of customers with them and a good balance sheet […] so we are openly looking at different types of companies from an organic growth perspective,” Rathi said.
Following Voyager Digital’s insolvency and bankruptcy filing, several firms including leading digital assets service provider Binance, CrossTower, now-bankrupt FTX, and its sister trading firm Alameda Research competed to acquire the crypto lending platform. In the end, FTX won the bid valued at $1.4 billion in September after its offer had previously been rejected.
CrossTower’s New Offer For Voyager Digital
Meanwhile, the implosion of the FTX Derivatives Exchange led to a reconsideration on the part of Voyager Digital. Last week, the crypto lender reopened its bidding process and CrossTower was one of the first firms to signify its interest in the bid.
On that note, CrossTower announced “We are working on a revised offer that we feel will benefit the Voyager customers and the wider Crypto community. CrossTower has always been, and will continue to be very community-focused.” adding that “We’re not aware of any other interest at the moment, but even if other players enter the ring, CrossTower’s priority is to ensure the best interest of the Voyager customers and the wider crypto community.”
Binance also returned in the face to acquire Voyager Digital, and so did Wave Financial, a blockchain-inclined venture capital firm.
Kristin Boggiano, CrossTower President also emphasized the criteria mentioned earlier by Rathi for crypto firms that the company plans to acquire. His emphasis was on firms that encourage transparency and are compliance-focused.
With this newfound hobby of going into mergers and acquisitions (M&A), CrossTower plans to set up a separate fund for rescuing troubled crypto firms. Rathi has declared that CrossTower has no plans of collaborating with Binance on its industry recovery fund which it revealed recently to help out troubled firms and reinstate stability in the industry.