Voyager Digital said on Monday that crypto exchange FTX, whose bailout proposal was rejected by the bankrupt lender earlier this year, won its assets in a $1.42 billion bid during a ‘an auction.

The FTX offering includes a fair market value of all Voyager cryptocurrencies, as of a date to be determined, which is set at approximately $1.31 billion at current market prices and an additional $111 million, a Voyager said in a statement.

The company added that its claims against hedge fund Three Arrows Capital will remain with the bankruptcy estate, which will distribute any available recovery on those claims to estate creditors.

Voyager issued a notice of default to the Singapore-based hedge fund in June, for its failure to make required payments on a 15,250 bitcoin loan.

In July, the company rejected a proposal from FTX, founded by billionaire Sam Bankman-Fried, as a “low offer disguised as a white knight bailout” and alleged the plan would disrupt its bankruptcy process.

Bankman-Fried has thrown lifelines to shore up businesses in a fragile digital asset sector, aggressively acquiring assets, technology and customers from struggling crypto firms at cheap valuations.

In July, FTX disclosed a 7.6% stake in Robinhood Markets Inc. and handed US cryptocurrency lender BlockFi a $250 million revolving credit facility in June, along with an agreement giving FTX the right to buy it based on certain performance triggers.

Crypto lenders, including Voyager, have exploded during the COVID-19 pandemic, luring depositors with high interest rates and easy access to loans rarely offered by traditional banks. However, the collapse of crypto markets has hurt crypto companies and investors alike.

In its Chapter 11 bankruptcy filing in July, Voyager estimated it had more than 100,000 creditors and between $1 billion and $10 billion in assets, along with liabilities of the same value.

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