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VGX Token Surges on Fake BlackRock-Voyager Acquisition News

2 mins
Updated by Bary Rahma
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In Brief

  • False reports claiming BlackRock acquired insolvent crypto lender Voyager Digital led to a brief surge in VGX.
  • The deceptive information was propagated via various media outlets, including Associated Press, on September 9.
  • After the news was exposed as false, VGX experienced a sharp 15% decline in its value during the last 24 hours.
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Erroneous media reports recently claimed that BlackRock, the world’s most substantial asset manager, had acquired the distressed crypto lender Voyager Digital. This misinformation momentarily inflated the value of VGX.

The incorrect news circulated on major media channels like the Associated Press, which presented it through a paid press release. Upon debunking the news as false, VGX underwent a sharp depreciation.

VGX Price Temporary Boost Due to Fake News

Apparent indicators were suggesting the unreliability of the report, most notably its dubious source — a Twitter account with a singular follower — which naturally raised red flags.

Yet, many media outlets hastened to share this uncorroborated news, neglecting essential verification processes. Some of these outlets have not retracted their stories, even in light of the undeniable refutation of the claims.

Read more: Best Crypto News Aggregators 2023

While the perpetrators behind this misinformation are yet to be identified, it appears the primary objective was to manipulate the VGX price artificially. The scheme momentarily worked, causing the token to spike 8%, peaking at $0.15335.

Voyager VGX Price Performance
Voyager VGX Price Performance. Source: BeInCrypto

Once the news was confirmed as false, the price of VGX sank by 15% to reach $0.1248. This decline illustrates the diminishing interest in the beleaguered digital asset.

Read more: Voyager Token (VGX) Price Prediction 2023/2025/2030

This incident underscores the tactics employed by manipulators in the crypto market. Since cryptocurrency values often pivot on news, malicious actors increasingly distort prices by disseminating deceptive narratives.

BlackRock’s Ventures in Crypto

BlackRock has lately expanded its footprint in the growing crypto market, as evidenced by its application for a spot Bitcoin ETF in June. Moreover, a 2022 study revealed BlackRock’s suggestion of an 85% optimal allocation in leading cryptocurrencies.

Read more: Top 11 Public Companies Investing in Cryptocurrency

Furthermore, BeInCrypto highlighted BlackRock’s investments in four of the top five Bitcoin mining firms by market capitalization. These moves align with the firm’s CEO, Larry Fink, who has publicly articulated a revised stance on crypto investments.

Top crypto projects in the US | May 2024

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Oluwapelumi Adejumo
Oluwapelumi believes Bitcoin and blockchain technology have the potential to change the world for the better. He is an avid reader and began writing about crypto in 2020.
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