What led to the Cayman court ordering Titan Capital's liquidation?

The Cayman Islands court ruled to liquidate Titan Capital after cryptocurrency giant Tether filed a petition over an unpaid loan of US$300 million. The loan was originally taken out by Titan in March 2024, with repayment due in March 2025. However, a credit-rating downgrade of Banco Master triggered early repayment clauses in the contract, accelerating the deadline before Vorcaro could settle the debt.

Who are the liquidators and what role does the Brazilian side play?

Judge Margareth Ramsay-Hale appointed John Royle, Margot MacInnis, and Kevin Hellard from Grant Thornton as liquidators. The judge also referenced documents submitted by EFB, a Brazilian law firm assisting the local administrator handling Master's insolvency proceedings in Brazil. Notably, Titan Capital's defense did not appear at the hearing.

Why is Tether involved in the Banco Master saga?

Tether, the world's largest cryptocurrency company by market capitalisation, had extended a US$300 million credit facility to Titan Capital — Daniel Vorcaro's offshore holding — in March 2024. The loan arrangement was partially revealed in November 2024, when Fictor attempted to acquire Banco Master. A clause in that deal listed Titan as an intervening party and mentioned a fiduciary assignment of credit rights linked to the Tether facility agreement.

What is Vorcaro's current legal situation?

Daniel Vorcaro, the owner of Banco Master, is currently under arrest on suspicion of financial fraud. His defence team did not respond to requests for comment regarding the Cayman ruling. The Federal Police also launched a new phase of the Compliance Zero operation to investigate pension-fund investments in Master from an institute based in Maceió.

Key Facts:
  • Cayman Islands court ordered the liquidation of Titan Capital, the holding company of Daniel Vorcaro (Banco Master owner).
  • Tether, the world's largest crypto company, filed the petition over a US$300 million loan made in March 2024.
  • Grant Thornton professionals John Royle, Margot MacInnis, and Kevin Hellard were appointed as liquidators.
  • The loan's repayment deadline was accelerated by contractual clauses triggered when Master's credit rating was downgraded.
  • Vorcaro is currently under arrest on suspicion of financial fraud.
  • Titan's defence did not appear at the Cayman hearing.