According to a court document filed on February 22nd, the US Federal Trade Commission (FTC) declared that it was looking into the executives of the insolvent lender Voyager Digital.
The FTC looked into Voyager’s “certain activities and practices” that constituted “deceptive and unfair promotion of bitcoin to the public.”
As the transaction may “interfere with causes of action by a governmental agency like the FTC,” the regulator has objected to Binance.US’ proposed acquisition of Voyager’s asset.
The FTC said that the suggested approach would “discharge” Voyager and its staff from allegations of potential fraud.
The financial regulator is requesting that the court omit parts of the proposal that would let the company or its employees get away with breaking the law.
Binance.US signed an agreement to pay $1.022 billion to purchase the corporate asset of the insolvent crypto lender in December 2022.
Financial watchdogs, including the U.S. Securities and Exchange Commission (SEC), have criticized the acquisition. The arrangement was also contested by the insolvent company Alameda Research.