(Bloomberg) -- Crypto broker Voyager Digital Ltd said it secured loans from Alameda Research, the trading outfit from FTX founder Sam Bankman-Fried, to shore up protection for customer assets while activity in the digital asset market remains highly volatile.

Voyager said it had signed a non-binding term sheet for a $200 million credit facility from Alameda, compiled using a mix of cash and USDC, a stablecoin tied to the value of the US dollar. The sheet also included a revolving line of credit for 15,000 Bitcoins, worth roughly $285 million on Saturday morning in London as crypto prices tumbled.

The loans are intended to be used as a safeguard for client assets in light of the “current crypto market conditions,” Voyager said in a statement published on its website Friday, adding “and only if such use is needed.”

The crypto sector is going through one of its most painful weeks on record, as token prices crash and companies struggle to stay above water. Crypto lenders Celsius Network and Babel Finance both suspended customer withdrawals as liquidity disappeared from the market, while hedge fund Three Arrows Capital is battling to secure additional financing. A number of firms also announced plans to lay off staff, including Coinbase Global Inc., Gemini Trust Co Llc and BlockFi Inc.

Crypto’s Excruciating Week Has Traders Bracing for Next Crisis

“Today’s actions give Voyager more flexibility to mitigate current market conditions and strengthen our relationship with one of the industry leaders,” said Stephen Ehrlich, chief executive of Voyager.

The facilities each have a term expiring on Dec. 31, 2024, with an annual interest rate of 5% payable on maturity. Voyager said it already has more than $200 million on its balance sheet, in addition to the new funds.

©2022 Bloomberg L.P.