U.S. crypto lender Voyager Digital said on Wednesday it had filed for bankruptcy, becoming another casualty of a dramatic fall in prices that has shaken the cryptocurrency sector.
Crypto lenders such as Voyager boomed in the COVID-19 pandemic, drawing depositors with high-interest rates and easy access to loans rarely offered by traditional banks. However the recent slump in crypto markets—sparked by the downfall of two major tokens in May—has hurt lenders.
New Jersey-based Celsius in June froze withdrawals and has hired advisers on a possible bankruptcy filing. Voyager froze withdrawals this month, as did another lender, Singapore’s Vauld….