Voyager crypto is witnessing a decline of over 15% today. Here's why

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Voyager crypto is witnessing a decline of over 15% today. Here's why

 Voyager crypto is witnessing a decline of over 15% today. Here's why
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Highlights

  • Voyager Token (VGX) crypto operates as a brokerage firm that allows the investors to buy, sell and trade cryptocurrencies.
  • On Thursday, Voyager crypto saw a significant decline post its disclosure of loans made to the Three Arrows Capital (3AC) fund.
  • Voyager Capital reportedly loaned roughly US$350 million worth of the stablecoin USDC along with 15,250 Bitcoin to 3AC.

Voyager Token (VGX) crypto operates as a brokerage firm that allows investors to buy, sell, and trade cryptocurrencies. Serving retail and institutional investors will enable the traders to manage their portfolios efficiently in more than 100 different crypto assets through its seamless mobile app.

With its native token, Voyager Token (VGX), the brokerage rewards its users who use the ecosystem. Traders and investors can do trade in over 60 cryptos, and users can earn compound interest from them.

The Voyager token on 23 June was down by 14.11% at 9:00 AM (GMT +1), according to CoinMarketCap.  

Related read: Why is MoveZ (MOVEZ) crypto trailing today?

On 23 June, the Voyager token was down by 14.11% at 9:00 AM (GMT +1), according to CoinMarketCap. 

Why is Voyager crypto trailing? 

Voyager crypto saw a significant decline on Thursday post its disclosure of loans made to the Three Arrows Capital (3AC) fund. The Toronto-based firm reportedly loaned roughly US$350 million worth of the stablecoin USDC along with 15,250 Bitcoin to 3AC.  

Singapore-based 3AC is rumoured to be nearing insolvency after incurring at least US$400 million in liquidations. The company suffered due to the Terra stablecoin collapse in May after investing US$200 million in LUNA tokens in February. But with the disclosure of its loans, Voyager's shares crashed by over 60% and are staring at a possible loss of over US$650 million.  

Related Read: Waves (Waves) crypto’s volume just soared over 700%. Here’s why

However, the good news could be that Voyager crypto has found a white knight in Sam Bankman-Fried, who has agreed to bail out Voyager along with quasi-bank BlockFi. Last week, Alameda Research and Voyager Digital signed a deal wherein the Bankman-Fried's quantitative research firm would provide US$500 million in financing in a bid to rescue the firm. 

Price performance

The Voyager crypto on Thursday was trading at US$0.443282 with a 24-hour trading volume of US$2,23,98,941, according to CoinMarketCap. The VGX crypto had a live market cap of US $12,34,46,061 and 27,84,82,214 VGX coins in circulation. 

The Voyager crypto before the announcement was on a bearish run and had suffered losses of over 45% in the past 14 days, according to CoinGecko. Today's loss has further dented the market confidence of the investors who would have been hoping for greener days ahead. 

During such gloomy periods, market participants should be prepared for drastic price changes. Therefore, investors must make sure that they do their respective market research and make informed decisions to ensure they don't incur losses. 

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