Cryptocurrency lender Voyager Digital ( OTCPK:VYGVQ ) said Tuesday Binance.US has backed out an ~$1B deal to buy its assets and transfer customers to its trading platform. Binance.US, the U.S. arm of the world's biggest crypto exchange Binance, blamed the "hostile" regulatory climate for terminating the deal. "While our hope throughout this process was to help Voyager's customers access their crypto in kind, the hostile and uncertain regulatory climate in the U.S. introduced an unpredictable operating environment impacting the entire American business community," Binance.US tweeted . "While this development is disappointing, our chapter 11 plan allows for direct distribution of cash and crypto to customers (a toggle option) via the Voyager platform," Voyager ( OTCPK:VYGVQ ) tweeted. Voyager ( OTCPK:VYGVQ ) will now move to return value to customers via direct distributions. "We will provide more information on next steps and any actions customers need to take in the coming days," it said . The Binance.US deal has faced increased regulatory scrutiny, even after Voyager ( OTCPK:VYGVQ ) received court approval to offload its assets as part of its bankruptcy plan. The ruling was appealed by the Justice Department as it believed the plan could prevent the government from bringing criminal charges if misconduct was discovered later. More on Voyager U.S. govt. appeals approval of Voyager sale to Binance.US Voyager gets judge's OK to sell assets to Binance.US Binance.US committed to Voyager deal after CZ floats pulling out
