1 

UNITED STATES DISTRICT COURT

FOR THE SOUTHERN DISTRICT OF NEW YORK

FEDERAL TRADE COMMISSION, 

Plaintiff,

v. 

VOYAGER DIGITAL, LLC, a limited liability 

company, VOYAGER DIGITAL HOLDINGS, 

INC., a corporation, and VOYAGER DIGITAL 

LTD., a foreign corporation; and 

STEPHEN EHRLICH, individually and as an 

officer of VOYAGER DIGITAL, LLC, VOYAGER 

DIGITAL HOLDINGS, INC., and VOYAGER 

DIGITAL LTD.,

Defendants, and

FRANCINE EHRLICH,

 Relief Defendant.

Case No. 1:23-cv-08960 

STIPULATED ORDER FOR 

PERMANENT INJUNCTION, 

MONETARY JUDGMENT, AND

OTHER RELIEF

Plaintiff, the Federal Trade Commission (“Commission” or “FTC”), filed its Complaint 

for Permanent Injunction, Monetary Relief, and Other Relief (“Complaint”), for a permanent 

injunction, monetary relief, and other relief in this matter, pursuant to Sections 13(b), 19, and 

16(a)(1) of the Federal Trade Commission Act (“FTC Act”), 15 U.S.C. §§ 53(b), 57b, 56(a)(1), 

and the Gramm-Leach-Bliley Act (“GLB Act”), 15 U.S.C. §§ 6821 et seq. Corporate 

Defendants have waived service of the summons and the Complaint. Defendants Voyager 

Digital, LLC, Voyager Digital Holdings, Inc., and Voyager Digital Ltd. have filed petitions for 

relief under Chapter 11 of the Bankruptcy Code. See Voyager Digital Holdings, Inc., et al, No. 

22-10943-mew (Bankr. S.D.N.Y.) The Commission and Corporate Defendants stipulate to the

entry of this Stipulated Order for Permanent Injunction, Monetary Judgment, and Other Relief

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 1 of 17
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(“Order”) to resolve all matters in dispute in this action between them and the pending 

bankruptcy proceedings. 

THEREFORE, IT IS ORDERED as follows:

FINDINGS

1. This Court has jurisdiction over this matter.

2. The Complaint charges that Defendants participated in deceptive acts or practices 

in violation of Section 5 of the FTC Act, 15 U.S.C. § 45, in the marketing and sale of 

cryptocurrency services. The Complaint further charges that Defendants obtained customer 

information of a financial institution relating to another person by making false, fictitious, or 

fraudulent statements, in violation of Section 521 of the GLB Act, 15 U.S.C. § 6821. 

3. Corporate Defendants neither admit nor deny any of the allegations in the 

Complaint, except as specifically stated in this Order. Only for purposes of this action, 

Corporate Defendants admit the facts necessary to establish jurisdiction. 

4. Corporate Defendants waive any claim that they may have under the Equal 

Access to Justice Act, 28 U.S.C. § 2412, concerning the prosecution of this action through the 

date of this Order, and agree to bear their own costs and attorney fees.

5. Corporate Defendants and the Commission waive all rights to appeal or otherwise 

challenge or contest the validity of this Order. 

6. Entry of this Order is in the public interest.

7. The Commission’s prosecution of this action, including entry of a money 

judgment and the enforcement of a judgment (other than a money judgment) obtained in this 

action are actions to enforce the Commission’s police or regulatory power. As a result, if the 

Debtor Defendants’ bankruptcies are pending as of the date of entry of this Order, these actions 

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 2 of 17
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are excepted from the automatic stay pursuant to 11 U.S.C. § 362(b)(4). 

8. On March 10, 2023, the United States Bankruptcy Court for the Southern District 

of New York entered the Corrected and Amended Order (I) Approving the Second Amended 

Disclosure Statement and (II) Confirming the Third Amended Joint Plan of Voyager Digital 

Holdings, Inc. and Its Debtor Affiliates Pursuant to Chapter 11 of the Bankruptcy Code [D.I. 

1166] whereby the Bankruptcy Court approved the Third Amended Joint Plan of Voyager 

Digital Holdings, Inc. and Its Debtor Affiliates Pursuant to Chapter 11 of the Bankruptcy Code 

[D.I. 1166-1] (the “Plan”). Mr. Paul R. Hage was appointed Plan Administrator of the Debtor 

Defendants on May 19, 2023. 

DEFINITIONS

For the purpose of this Order, the following definitions apply:

A. “Clear(ly) and conspicuous(ly)” means that a required disclosure is difficult to miss 

(i.e., easily noticeable) and easily understandable by ordinary consumers, including in all of the 

following ways: 

1. In any communication that is solely visual or solely audible, the disclosure 

must be made through the same means through which the communication is presented. 

In any communication made through both visual and audible means, such as a television 

advertisement, the disclosure must be presented simultaneously in both the visual and 

audible portions of the communication even if the representation requiring the disclosure 

is made in only one means. 

2. A visual disclosure, by its size, contrast, location, the length of time it 

appears, and other characteristics, must stand out from any accompanying text or other 

visual elements so that it is easily noticed, read, and understood. 

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 3 of 17
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3. An audible disclosure, including by telephone or streaming video, must be 

delivered in a volume, speed, and cadence sufficient for ordinary consumers to easily 

hear and understand it. 

4. In any communication using an interactive electronic medium, such as the 

Internet or software, the disclosure must be unavoidable. 

5. The disclosure must use diction and syntax understandable to ordinary 

consumers and must appear in each language in which the representation that requires the 

disclosure appears.

6. The disclosure must comply with these requirements in each medium 

through which it is received, including all electronic devices and face-to-face 

communications. 

7. The disclosure must not be contradicted or mitigated by, or inconsistent 

with, anything else in the communication. 

8. When the representation or sales practice targets a specific audience, such 

as children, the elderly, or the terminally ill, “ordinary consumers” includes reasonable 

members of that group.

B. “Defendants” means the Individual Defendant and the Corporate Defendants, 

individually, collectively, or in any combination. 

1. “Corporate Defendants” means Voyager Digital, LLC, Voyager Digital 

Holdings, Inc., Voyager Digital Ltd., and their successors and assigns. 

2. “Debtor Defendants” means Voyager Digital, LLC, Voyager Digital 

Holdings, Inc., and Voyager Digital Ltd. 

3. “Individual Defendant” means Stephen Ehrlich. 

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 4 of 17
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C. “Express Informed Consent” means an affirmative act communicating unambiguous 

assent made after receiving and in close proximity to a Clear and Conspicuous disclosure of all 

information material to the provision of consent. Assent obtained through any practice or user 

interface that has the effect of subverting or impairing consumer autonomy, decision-making, or 

choice, including using text that is not easily legible or disclosing material terms behind a 

hyperlink, dropdown icon, tooltip, or other similar interface, does not constitute Express 

Informed Consent. Acceptance of a general or broad terms of use or similar document that 

contains descriptions of agreement by the individual along with other, unrelated information, 

does not constitute Express Informed Consent. 

D. “Nonpublic Personal Information” means: 

1. Any information that Defendants obtain about a consumer in connection 

with providing a product or service to that consumer; or 

2. Any list, description, or other grouping of consumers (and publicly 

available information pertaining to them) that is derived using any Nonpublic Personal 

Information that is not publicly available. 

E. “Relief Defendant” means Francine Ehrlich.

ORDER

I. BAN 

IT IS ORDERED that Corporate Defendants are permanently restrained and enjoined 

from advertising, marketing, promoting, offering, or distributing, or assisting in the advertising, 

marketing, promoting, offering, or distributing of any product or service that can be used to 

deposit, exchange, invest, or withdraw assets, whether directly or through an intermediary.

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II. PROHIBITION AGAINST MISREPRESENTATIONS

IT IS FURTHER ORDERED that Corporate Defendants, Corporate Defendants’ officers, 

agents, employees, and attorneys, and all other persons in active concert or participation with any 

of them, who receive actual notice of this Order, whether acting directly or indirectly, in 

connection with promoting or offering for sale any product or service are permanently restrained 

and enjoined from misrepresenting or assisting others in misrepresenting, expressly or by 

implication the benefits of Defendants’ products or services or any other material fact about 

Defendants’ products or services, such as the total costs; any material restrictions, limitations, or 

conditions; or any material aspect of its performance, efficacy, nature, or central characteristics. 

III. INJUNCTION RELATING TO OBTAINING CUSTOMER FINANCIAL 

INFORMATION

IT IS FURTHER ORDERED that Corporate Defendants and Corporate Defendants’ 

officers, agents, employees, and attorneys, and all other persons in active concert or participation 

with any of them, who receive actual notice of this Order, whether acting directly or indirectly, 

are hereby permanently restrained and enjoined from: 

A. Obtaining or attempting to obtain customer information of a financial institution 

(including bank account routing number, account number, log-in credentials, private keys, or 

other cryptocurrency wallet information) from a consumer by making false, fictitious, or 

fraudulent representations to any consumer or financial institution; or

B. Violating the Gramm-Leach-Bliley Act, 15 U.S.C. §§ 6801-6809, §§ 6821-6827, 

a copy of which is attached. 

IV. PROHIBITION AGAINST IMPROPER DISCLOSURE OF NONPUBLIC 

PERSONAL INFORMATION

IT IS FURTHER ORDERED that Corporate Defendants, Corporate Defendants’ officers, 

agents, employees, and attorneys, and all other persons in active concert or participation with any 

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 6 of 17
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of them, who receive actual notice of this Order, whether acting directly or indirectly, are 

permanently restrained and enjoined from disclosing to any other person any Nonpublic Personal 

Information about a consumer unless Corporate Defendants have obtained the consumer’s 

Express Informed Consent to disclose that Nonpublic Personal Information to that person. 

V. ORDERS OF BANKRUPTCY COURT

IT IS FURTHER ORDERED that this Order does not restrain or enjoin the deposit,

exchange, distribution, investment, or withdrawal of assets owned or held by the Debtor 

Defendants and being administered in accordance with the United States Bankruptcy Code and 

orders of the court in the Bankruptcy Case. For the avoidance of doubt, Part VI.C-D, below, 

does not create a contingent liability against the Debtor Defendants and does not preclude the 

full distribution of assets held by the Debtor Defendants in the Bankruptcy Case. 

VI. JUDGMENT FOR MONETARY RELIEF AND ITS 

SUSPENSION

IT IS FURTHER ORDERED that: 

A. Judgment in the amount of $1,650,000,000 is entered in favor of the Commission

against Corporate Defendants, jointly and severally, as monetary relief. Corporate Defendants’ 

liability for this judgment shall be joint and several with any other Defendants to the extent 

subsequently ordered. 

B. The judgment is suspended as to Corporate Defendants subject to the Subsections 

of this Section below. 

C. The suspension of the judgment as to Corporate Defendants is expressly premised 

upon the truthfulness, accuracy, and completeness of Corporate Defendants’ sworn financial 

attestations submitted to the Commission and to the Bankruptcy Court. 

D. The suspension will be lifted as to Corporate Defendants if, upon motion by the 

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 7 of 17
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Commission or the Commission, the Court finds that a Corporate Defendant failed to disclose 

any material asset, materially misstated the value of any asset, or made any other material 

misstatement or omission in the financial representations identified above. The suspension will 

also be lifted as to Corporate Defendants if the Bankruptcy Case is closed, dismissed, or 

otherwise concluded, in each case, without the estate(s) being fully administered, including any 

distributions to creditors, in accordance with the Bankruptcy Code. 

E. If the suspension of the judgment is lifted, the judgment becomes immediately 

due as to Corporate Defendants in the amount specified in Subsection A above (which the parties 

stipulate only for purposes of this Section represents the consumer injury), less any payment 

previously made pursuant to this Section, plus interest computed from the date of entry of this 

Order.

VII. ADDITIONAL MONETARY PROVISIONS

IT IS FURTHER ORDERED that:

A. Corporate Defendants relinquish dominion and all legal and equitable right, title, 

and interest in all assets transferred pursuant to this Order and may not seek the return of any 

assets.

B. The facts alleged in the Complaint will be taken as true, without further proof, in 

any subsequent civil litigation by or on behalf of the Commission, including in a proceeding to 

enforce its rights to any payment or monetary judgment pursuant to this Order, such as a 

nondischargeability complaint in any bankruptcy case. 

C. The facts alleged in the Complaint establish all elements necessary to sustain an 

action by the Commission pursuant to Section 523(a)(2)(A) of the Bankruptcy Code, 11 U.S.C. 

§ 523(a)(2)(A), and this Order will have collateral estoppel effect for such purposes.

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 8 of 17
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D. Corporate Defendants acknowledge that their Taxpayer Identification Numbers 

(Social Security Numbers or Employer Identification Numbers), which Corporate Defendants 

must submit to the Commission, may be used for collecting and reporting on any delinquent 

amount arising out of this Order, in accordance with 31 U.S.C. § 7701. 

E. All money received by the Commission pursuant to this Order may be deposited 

into a fund administered by the Commission or its designee to be used for consumer relief, such 

as redress and any attendant expenses for the administration of any redress fund. If a 

representative of the Commission decides that direct redress to consumers is wholly or partially 

impracticable or money remains after such redress is completed, the Commission may apply any 

remaining money for such related relief (including consumer information remedies) as it 

determines to be reasonably related to Corporate Defendants’ practices alleged in the Complaint. 

Any money not used for relief is to be deposited to the U.S. Treasury. Corporate Defendants 

have no right to challenge any actions the Commission or its representatives may take pursuant 

to this Subsection. 

F. The Debtor Defendants will not object to allowance of Proof of Claim No. 12033 

filed by the FTC against Voyager Digital, LLC and Proof of Claim No. 12032 filed by the FTC 

against Voyager Digital Holdings, Inc. (collectively, the “FTC Claim”) in the Bankruptcy Case 

as general unsecured claims in the amount of $1,650,000,000. Any recovery by the FTC on the 

FTC Claim is subject in all respects to this Order, including, for the avoidance of doubt, the 

suspension provisions of section VI hereof. 

VIII. CUSTOMER INFORMATION

IT IS FURTHER ORDERED that Corporate Defendants, Corporate Defendants’ officers, 

agents, employees, and attorneys, and all other persons in active concert or participation with any 

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 9 of 17
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of them, who receive actual notice of this Order are permanently restrained and enjoined from 

directly or indirectly: 

A. failing to provide sufficient customer information to enable the Commission to 

efficiently administer consumer redress. If a representative of the Commission requests in 

writing any information related to redress, Corporate Defendants must provide it, in the form 

prescribed by the Commission, within 14 days; 

B. disclosing, using, or benefitting from customer information, including the name, 

address, telephone number, email address, social security number, other identifying information, 

or any data that enables access to a customer’s account (including a credit card, bank account, or 

other financial account), that any Defendant obtained prior to entry of this Order in connection 

with the marketing and sale of cryptocurrency services; and 

C. failing to destroy such customer information in all forms in their possession, 

custody, or control within 30 days after receipt of written direction to do so from a representative 

of the Commission. 

Provided, however, that customer information need not be disposed of, and may be 

disclosed, to the extent requested by a government agency, required by law, regulation, or court 

order, or required to effectuate the full distribution of assets held by the Debtor Defendants in the 

Bankruptcy Case. 

IX. COOPERATION

IT IS FURTHER ORDERED that Corporate Defendants must fully cooperate with 

representatives of the Commission in this case and in any investigation related to or associated 

with the transactions or occurrences that are the subject of the Complaint. Corporate Defendants 

must provide truthful and complete information, evidence, and testimony. Corporate Defendants 

must cause Corporate Defendants’ officers, employees, representatives, or agents to appear for 

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 10 of 17
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interviews, discovery, hearings, trials, and any other proceedings that a Commission 

representative may reasonably request upon 5 days’ written notice, or other reasonable notice, at 

such places and times as a Commission representative may designate, without the service of a 

subpoena. 

X. ORDER ACKNOWLEDGMENTS

IT IS FURTHER ORDERED that Corporate Defendants obtain acknowledgments of 

receipt of this Order:

A. Each Corporate Defendant, within 7 days of entry of this Order, must submit to 

the Commission an acknowledgment of receipt of this Order sworn under penalty of perjury.

B. For 10 years after entry of this Order, each Corporate Defendant must deliver a 

copy of this Order to: (1) all principals, officers, directors, and LLC managers and members; (2) 

all employees having managerial responsibilities for conduct related to the subject matter of the 

Order and all agents and representatives who participate in conduct related to the subject matter 

of the Order; and (3) any business entity resulting from any change in structure as set forth in the 

Section titled Compliance Reporting. Delivery must occur within 7 days of entry of this Order 

for current personnel. For all others, delivery must occur before they assume their 

responsibilities.

C. From each individual or entity to which a Corporate Defendant delivered a copy 

of this Order, that Corporate Defendant must obtain, within 30 days, a signed and dated 

acknowledgment of receipt of this Order.

XI. COMPLIANCE REPORTING

IT IS FURTHER ORDERED that Corporate Defendants make timely submissions to the 

Commission:

A. One year after entry of this Order, each Corporate Defendant must submit a 

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 11 of 17
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compliance report, sworn under penalty of perjury, that: (a) identifies the primary physical, 

postal, and email address and telephone number, as designated points of contact, which 

representatives of the Commission may use to communicate with Corporate Defendant; (b) 

identifies all of that Corporate Defendant’s businesses by all of their names, telephone numbers, 

and physical, postal, email, and Internet addresses; (c) describes the activities of each business, 

including the goods and services offered, the means of advertising, marketing, and sales, and the 

involvement of any other Defendant; (d) describes in detail whether and how that Corporate 

Defendant is in compliance with each Section of this Order; and (e) provides a copy of each 

Order Acknowledgment obtained pursuant to this Order, unless previously submitted to the 

Commission. 

B. For 10 years after entry of this Order, each Corporate Defendant must submit a 

compliance notice, sworn under penalty of perjury, within 14 days of any change in the 

following: (a) any designated point of contact; or (b) the structure of any Corporate Defendant or 

any entity that Corporate Defendant has any ownership interest in or controls directly or 

indirectly that may affect compliance obligations arising under this Order, including: creation, 

merger, sale, or dissolution of the entity or any subsidiary, parent, or affiliate that engages in any 

acts or practices subject to this Order.

C. Each Corporate Defendant must submit to the Commission notice of the filing of 

any bankruptcy petition, insolvency proceeding, or similar proceeding by or against such 

Corporate Defendant within 14 days of its filing. 

D. Any submission to the Commission required by this Order to be sworn under 

penalty of perjury must be true and accurate and comply with 28 U.S.C. § 1746, such as by 

concluding: “I declare under penalty of perjury under the laws of the United States of America 

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 12 of 17
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that the foregoing is true and correct. Executed on: _____” and supplying the date, signatory’s 

full name, title (if applicable), and signature.

E. Unless otherwise directed by a Commission representative in writing, all 

submissions to the Commission pursuant to this Order must be emailed to DEbrief@ftc.gov or 

sent by overnight courier (not the U.S. Postal Service) to: Associate Director for Enforcement, 

Bureau of Consumer Protection, Federal Trade Commission, 600 Pennsylvania Avenue NW, 

Washington, DC 20580. The subject line must begin: FTC v. Voyager Digital, LLC., et al., No. 

2223149. 

XII. RECORDKEEPING

IT IS FURTHER ORDERED that Corporate Defendants must, in connection with 

promoting or offering for sale any product or service, create certain records for 10 years after 

entry of the Order, and retain each such record for 5 years. Specifically, Corporate Defendants 

must create and retain the following records:

A. accounting records showing the revenues from all goods or services sold; 

B. personnel records showing, for each person providing services, whether as an 

employee or otherwise, that person’s: name; addresses; telephone numbers; job title or position; 

dates of service; and (if applicable) the reason for termination;

C. records of all consumer complaints and refund requests, whether received directly 

or indirectly, such as through a third party, and any response; 

D. all records necessary to demonstrate full compliance with each provision of this 

Order, including all submissions to the Commission; and 

E. a copy of each unique advertisement or other marketing material. 

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 13 of 17
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XIII. COMPLIANCE MONITORING

IT IS FURTHER ORDERED that, for the purpose of monitoring Corporate Defendants’ 

compliance with this Order:

A. Within 14 days of receipt of a written request from a representative of the 

Commission, each Corporate Defendant must: submit additional compliance reports or other 

requested information, which must be sworn under penalty of perjury; appear for depositions; 

and produce documents for inspection and copying. The Commission are also authorized to 

obtain discovery, without further leave of court, using any of the procedures prescribed by 

Federal Rules of Civil Procedure 29, 30 (including telephonic depositions), 31, 33, 34, 36, 45, 

and 69. 

B. For matters concerning this Order, the Commission are authorized to 

communicate directly with each Corporate Defendant. Each Corporate Defendant must permit 

representatives of the Commission to interview any employee or other person affiliated with any 

Corporate Defendant who has agreed to such an interview. The person interviewed may have 

counsel present. 

C. The Commission may use all other lawful means, including posing, through its 

representatives as consumers, suppliers, or other individuals or entities, to Corporate Defendants, 

or any individual or entity affiliated with Corporate Defendants, without the necessity of 

identification or prior notice. Nothing in this Order limits the Commission’s lawful use of 

compulsory process, pursuant to Sections 9 and 20 of the FTC Act, 15 U.S.C. §§ 49, 57b. 

XIV. RETENTION OF JURISDICTION

IT IS FURTHER ORDERED that this Court retains jurisdiction of this matter for 

purposes of construction, modification, and enforcement of this Order. 

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 14 of 17
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SO ORDERED this day of , 2023. 

_______________________________ 

UNITED STATES DISTRICT JUDGE

Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 15 of 17
Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 16 of 17

FOR PLAINTIFF: FEDERAL TRADE COMMISSION 

Date: lo /t L /2023 

QUINN MARTIN 

SANY A SHAHRASBI 

LARKIN TURNER 

KA THERINE M. AIZPURU 

Attorneys 

Federal Trade Commission 600 

Pennsylvania Avenue NW Mail 

Stop: CC 6316 Washington, D.C. 

20580 202-326-2080 

qmartin@ftc.gov; 

sshahrasbi@ftc.gov; 

lturner@ftc.gov; 

kaizpuru@ftc.gov 

16 
Case 1:23-cv-08960 Document 4-1 Filed 10/12/23 Page 17 of 17

FOR CORPORATE DEFENDANTS: VOYAGER DIGITAL, LLC; VOYAGER DIGITAL 

HOLDINGS, INC.; AND VOYAGER DIGITAL LTD. 

Date: ID It,~ /2 ,2. \ 

I I Allyson Baker,sq. 

Erin Zacuto Cass, Esq. 

Meredith Boylan, Esq. 

Paul Hastings LLP 

2050 M Street NW, Washington, DC 20036 

(202) 551-1700 

allysonbaker@paulhastings.com 

erincass@paulhastings.com 

meredithboylan@paulhastings.com 

COUNSEL 

CORPORATE DEFENDANTS: VOYAGER DIGITAL, LLC; VOYAGER DIGITAL 

HOLDINGS, INC.; AND VOYAGER DIGITAL LTD 

Q.,_e_ n' LL ~ Date: _ \_O.......; -~=----"-- l ~--

Paul Hage, a~ Administrator of Voyager Digital, LLC, Voyager Digital Holdings, Inc., and 

Voyager Digital Ltd. 

17 

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