The native token for the embattled crypto brokerage Voyager Digital has skyrocketed in what appears to be a brand new effort to inflate its value seemingly impressed by the latest “CEL quick squeeze.”
On July 13, Voyager’s VGX token surged 178% to hit an intraday excessive of $0.891 earlier than falling again to round $0.559, in accordance with CoinGecko. It had regained floor again u to $0.717 on the time of publication.
The value rise has coincided with the looks of a Twitter hashtag known as #PumpVGXJuly18, in addition to the formation of a Telegram group known as the “Voyager Community Recovery Channel,” which had greater than 2,100 members on the time of writing.
The token has gained greater than 400% because the starting of the week as speculators look like leaping aboard the most recent fast buck bandwagon.
This week’s VGX pump is a reversal of a gradual downtrend for the crypto token this 12 months, dropping nearly 80% because the starting of 2022. It can also be down 94.3% since its January 2018 all-time excessive of $12.47.
On July 6, Voyager Digital introduced its restructuring plan, which would come with issuing Voyager tokens to clients that had suffered losses following its suspension of buying and selling earlier within the month. The identical day, the corporate filed for Chapter 11 chapter in New York, citing liquidity points arising from Three Arrows Capital’s (3AC) excellent money owed.
The newest twist within the saga got here when a federal choose in New York froze the remaining belongings of 3AC on July 12. Another a part of the restructuring plan contains any restoration of belongings from 3AC, which may additionally partly clarify the rise within the perceived worth of the VGX tokens.
Unknown crypto enterprise agency MetaFormLabs, which initiated the transfer on Twitter to pump VGX on July 9, has pledged to rescue Voyager via this implies. On July 13, the agency detailed its token value goal, and the quantities pledged for the rescue bundle.
“We have set a new target range of 5USD-8USD. Currently, we have 50,000,000USD internally and 67,000,000USD pledged by well-known crypto enthusiasts.”
By July 14, it claimed to have $135 million in funds for the rescue bundle, which will probably be introduced in full on July 18, coinciding with its token pump peak plans.
1 factor is evident.
Don’t say we did not offer you any pre warnings of our intentions.#PumpVGXJuly18
July 18 2022 @ 2PM PST
We will cease sharing precise quantities we’ve pledged.
Current complete prepared for July 18: 135,000,00USD+
Whoever shorts will most likely get swallowed entire.
— MetaFormLabs | #PumpVGXJuly18 (@MetaFormLabs) July 13, 2022
Following the preliminary pump, which started on July 13 as costs lifted off from $0.15, MetaFormLabs asserted that this was nothing to do with them.
“Where there’s green there’s vultures that prey for low entries. #PumpVGXJuly18 will go ahead as planned on July 18 @ 2pm PST. Today’s movement wasn’t us, we’ve not even begun yet.”
The pump scheme has been met with a wholesome dose of skepticism from the crypto group on Twitter.
Know what you might be moving into. Numerous provide is locked up on Voyager which may skew pricing. $VGX optimism can doubtlessly assist Voyager make clients entire, however know the danger you take.
— shingolavine.eth (@shingolavine) July 13, 2022
There was no point out of any bailout plans on Voyager’s official Twitter feed.
Related: Investors lament doubtlessly misplaced ‘millions’ on Voyager chapter
Cointelegraph reached out to MetaFormLabs for additional particulars in response to their name to take action however had not heard again by the point this text was revealed.
Meanwhile, VGX was already dumping and had misplaced 21% from its preliminary pump yesterday. An identical pump and dump occurred with the newly launched Terra LUNA tokens, which surged above $10 a few days after they went stay in late May, solely to dump to round $2 every week later.