Changpeng Zhao, head of the Binance bitcoin exchange, criticized the deal, in which venture capital firm Alameda Research provided a $500 million loan to cryptocurrency broker Voyager Digital, saying on the Decrypt podcast that he would “never agree”. such an agreement.”

On June 18, Voyager Digital reported that Sam Bankman-Fried’s company lent him 200 million USDC and opened a 15,000 BTC (~$321 million at time of writing) revolving line of credit.

When the crypto broker filed for bankruptcy, it turned out that Alameda Research was the second largest borrower ($376.8 million) from Voyager Digital after Three Arrows Capital (3AC). The company can rely on these assets to pay its obligations to creditors.

“I personally and largely like Binance, very simple transactions. […] We don’t like deals like “Hey, I owe you, you pay me a lot, you invest in me, I loan you more money, and then you save me”. Why don’t we return all the money, go back to the starting point and talk about the net balance, who owes who how much?” said Zhao.

Earlier, the head of Binance said that the deal with Alameda is unlikely to save Voyager Digital.

3AC owes Voyager several 100m, it went bankrupt. FTX/Alameda gave 3AC $100 million but didn’t save it.

Alameda invests in Voyager, then takes a $377 million loan from Voyager…okay…

V went bankrupt. Didn’t FTX “save them” or refund the money?

hard to follow?https://t.co/yx6RJjVZrB

— CZ 🔶 Binance (@cz_binance) July 7, 2022

“So, 3AC owed Voyager several hundred million and went bankrupt. FTX/Alameda gives 3AC $100 million but doesn’t bail it out. Alameda invests in Voyager, then takes a $377 million loan from a broker…okay …Voyager went bankrupt. Didn’t FTX bail them out and return the money? Is it hard to follow?” he wrote.

In June, Bankman-Fried reported that Alameda Research is making efforts to mitigate negative events in the cryptocurrency market due to Celsius and Three Arrows Capital issues.

In a recent interview with Reuters, the entrepreneur stated that FTX has “several billion” to bail out companies in trouble. According to him, a number of firms turned to them for help. He stressed that the worst part of the crisis is over.

Zhao also stated that he has a “duty” to protect users and help the rest of the industry survive. But there are “bad projects” that, according to him, should not be saved.

Remember, the exchange is in bailout talks with over 50 companies, according to the Binance chief.

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