FDIC Probing How Bankrupt Crypto Broker Voyager Marketed Itself

The Federal Deposit Insurance Corporation, which protects customers in the event of certain types of bank failures, is looking into how bankrupt digital-asset firm Voyager Digital Ltd. marketed itself to customers, a spokesperson for the agency said.

Voyager, the latest casualty of the turmoil in the crypto markets, has publicly said that any US dollars deposited with the firm are covered by FDIC insurance, thanks to its partnership with Metropolitan Commercial Bank. Wording posted in 2019 on a company web page stated that this protection would take effect in the “rare event your USD funds are compromised due to the company or our banking partner’s failure,” according to the Wayback Machine, which keeps an archive of Internet content.