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Voyager suspends trading, deposits, withdrawals, and loyalty rewards

investvoyager.com

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Re: Voyager suspends trading, deposits, withdrawals, and loyalty rewards

#61

Post by tick_tock_tick »

iskander wrote: post #27
JumpCrisscross wrote: post #17

Earlier quoted context omitted.

> especially in the modern era of 0% reserve requirements They’ve been replaced with capital requirements, which make a lot more sense in modern finance than reserve requirements.

What's the current state of those capital requirements in US banks? Is this the latest requirement? https://www.federalreserve.gov/newsevents/pressreleases/bcre... (4.5%) And how do banks actually measure up to this minimum?

The Fed runs stress tests all the time and currently the banks are preforming perfectly during them.

Re: Voyager suspends trading, deposits, withdrawals, and loyalty rewards

#62

Post by puranjay »

sdfhdhjdw3 wrote: post #2

I guess everyone's strategy in the crypto space is put everything you have on bitcoin and hope it goes up. It's a really good strategy, when it works.

to be fair, all of this CeFi crap is against the core ethos of crypto.

No serious crypto person will tell you to use CeFi.

"Not your keys, not your coins" is the first rule of crypto.

Re: Voyager suspends trading, deposits, withdrawals, and loyalty rewards

#63

Post by woodruffw »

NovemberWhiskey wrote: post #60
ansible wrote: post #4

I sometimes wonder if I'm the only one who just wants a bank to be a bank. I've been with the same relatively small regional bank for 30 years. I have a checking account, savings account and that's it. They've been stable this entire time, and I've never worried my money was going to disappear. As another sign of being an old man, I'm old enough to remember the phrase "as safe as money in the bank". You see, when I w…

I invite you to look at the list of failed banks provided by the FDIC: https://www.fdic.gov/resources/resolutions/bank-failures/fai... Notice that the vast majority of these are smaller, local or regional banks.

Pointing to the list of failed banks from the website of the government agency that insures them and makes customers whole doesn't convey as strong of a point as you might have intended.

Re: Voyager suspends trading, deposits, withdrawals, and loyalty rewards

#64

Post by teraflop »

thr0wawayf00 wrote: post #22
alexjplant wrote: post #7

Earlier quoted context omitted.

Aren't retail and investment banking separate spaces? Aren't depository accounts insured to the tune of a quarter of a million dollars by the FDIC? Isn't Voyager a crypto exchange? I tend to keep my money in local credit unions as well, but I'm struggling to understand how this discussion is germane to Voyager's actions here. EDIT: See https://www.investvoyager.com/blog/voyager-is-now-fdic-insur...

Because Voyager has tried to position itself as a crypto-based alternative to banking. From the front page: > Build your wealth > Earn up to 12% annual rewards. Beat your bank by earning top rewards each month on 39 digital assets with no lockups. They explicitly touted their benefits over using a traditional bank before they issued this notice. They also issued debit cards that they are now deactivating. Fundamental…

In particular, the Voyager home page says that "USD" and "cash" deposits are FDIC-insured, while the debit card landing page talks about how you can earn rewards while "spend[ing] USD Coin like cash".

I can easily imagine a naive consumer coming away from this with the incorrect impression that USD Coin deposits, being equivalent to USD, are insured to the same extent.

Re: Voyager suspends trading, deposits, withdrawals, and loyalty rewards

#65

Post by rootsudo »

ansible wrote: post #4

I sometimes wonder if I'm the only one who just wants a bank to be a bank. I've been with the same relatively small regional bank for 30 years. I have a checking account, savings account and that's it. They've been stable this entire time, and I've never worried my money was going to disappear. As another sign of being an old man, I'm old enough to remember the phrase "as safe as money in the bank". You see, when I w…

"as safe as money in the bank"

I think you're conflating these defi platforms as banks, they are not - they are risk ladden investment platforms as listed on the website itself...

"2022 Voyager Digital, LLC. VOYAGER is a trademark of Voyager IP, LLC, a wholly owned subsidiary of Voyager Digital Ltd. All services provided by Voyager Digital, LLC, a FinCEN registered company. Investments are subject to market risk. NMLS ID: 1730854"

I also don't see them saying they are a bank, anywhere on their about me investor page:

"About Voyager

Voyager Digital Ltd. is a fast-growing, publicly traded cryptocurrency platform in the United States founded in 2018 to bring choice, transparency, and cost efficiency to the marketplace. Voyager offers a secure way to trade over 100 different crypto assets using its easy-to-use mobile application, and earn rewards up to 12 percent annually on more than 40 cryptocurrencies. Through its subsidiary Coinify ApS, Voyager provides crypto payment solutions for both consumers and merchants around the globe."

https://www.investvoyager.com/investorrelations/overview/

But I do see they link up instantly and have their own bank account setup under a "real bank" https://assets.investvoyager.com/5ykew4idKrAVhJIu

tl;dr don't call a bank, a bank when it never was a bank.

Re: Voyager suspends trading, deposits, withdrawals, and loyalty rewards

#66

Post by rootsudo »

alangibson wrote: post #54
caiomassan wrote: post #48

Earlier quoted context omitted.

i am not even 40 and got my money robbed from the bank by the government twice. depends where you live, a bank is not that good of a place to keep your savings.

We're definitely going to need details on this.

This is a pretty common scenario in South America, e.g. Argentina, Colombia, Venezuela and then you can look over at some African reasons and even Asia nowadays too - e.g. Sri Lanka.

You can also go as far as even the USA does this on money it deems "did a crime" or was related, or just in the proximity because the law enforcement officer said so. civil forfeiture.

Re: Voyager suspends trading, deposits, withdrawals, and loyalty rewards

#67

Post by AmericanChopper »

woodruffw wrote: post #63
NovemberWhiskey wrote: post #60

Earlier quoted context omitted.

I invite you to look at the list of failed banks provided by the FDIC: https://www.fdic.gov/resources/resolutions/bank-failures/fai... Notice that the vast majority of these are smaller, local or regional banks.

Pointing to the list of failed banks from the website of the government agency that insures them and makes customers whole doesn't convey as strong of a point as you might have intended.

> makes customers whole

*As long as whole is less than $250k.

Re: Voyager suspends trading, deposits, withdrawals, and loyalty rewards

#68

Post by NovemberWhiskey »

iskander wrote: post #27
JumpCrisscross wrote: post #17

Earlier quoted context omitted.

> especially in the modern era of 0% reserve requirements They’ve been replaced with capital requirements, which make a lot more sense in modern finance than reserve requirements.

What's the current state of those capital requirements in US banks? Is this the latest requirement? https://www.federalreserve.gov/newsevents/pressreleases/bcre... (4.5%) And how do banks actually measure up to this minimum?

The 4.5% is the baseline; subject to additional stress capital buffer (based on DFAST supervisory stress-test results) and systematically-important institution weighting.

https://www.federalreserve.gov/publications/large-bank-capit...

So JP Morgan is 11.2%; Citigroup is 10.5%; for example.

Re: Voyager suspends trading, deposits, withdrawals, and loyalty rewards

#69

Post by adrr »

marcell wrote: post #53
adrr wrote: post #39

Earlier quoted context omitted.

Whats the limit on withdraws before they have liquidity issues? Easiest way to make investors confident is due a full audit with a top 4 auditing firm.

https://tether.to/en/transparency/#reports They claim 85% cash/cash equivalents, 15% less liquid assets. Cash equivalents is broken down also, 55% is Treasury bonds.

Thats meaningless unless it's an audited by a top 4 firm.
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