On July 19, 2022, Hofstra Law Professor Scott Colesanti was quoted in the Law360 article “Who Owns Crypto in Ch. 11? A Trillion-Dollar Question.”
Excerpt
“In this case, it appears they’re treating [customer deposits] as essentially property of the estate,” said Daniel Besikof, a partner at Loeb & Loeb LLP. “Account holders are really being treated as creditors as opposed to being treated as someone Voyager holds assets in trust for.”
But that calculation can change based on a number of factors, such as the terms of Voyager’s customer agreements and the actions it took with user funds.
“If you’re Voyager or another unfortunate entity in that position, you’re going to say, ‘We own all these things,'” said J. Scott Colesanti, a former securities regulator who has taught that topic at Hofstra University’s Maurice A. Deane School of Law for 20 years. “To support their case, they’d have to point to the agreements they entered with people. The strength of their argument is largely going to be linked to what agreements they had with their consumers or investors.”
Read the full article on the Law360 website.
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