Nexo Fails to Register Interest Product: 45 Million Penalties from Two Big Institutions

Crypto lending platform Nexo has agreed to pay a total of $45 million in penalties to two different institutions for failing to register its interest product with the U.S. Securities and Exchange Commission (SEC) before offering it.

The SEC announced on its official website on Jan. 19 that Nexo’s current interest product will be registered prior to sale. not to be carried because of being accused stated. Another similar accusation From the North American Association of Securities Managers (NASAA) came. Nexo to both institutions 22.5 million While agreeing to pay a dollar penalty, it also includes the sale of the relevant interest product. stopped.

NASAA oversees Nexo’s revenue generation methods used to generate returns for investors. full appreciation He said he retained his authority. The institution announced that the company promotes its products to US investors through its website and social media channels, and that investors in some cases annually to 36% He stated that he thinks he can earn as much as possible.

The SEC is trying to protect Nexo’s investors. basic declaration requirements before offering the relevant product to the public by bypassing not registered expressed. These statements, quoted by President Gensler, have been used in other cases in the past as well. Gensler has been tested and approved over a long period of time to comply with these rules. a choice not a necessity He repeats that often.

On the other hand, the SEC itself fraud and deceptive commercial activity with don’t blame Emphasizing Nexo CEO Anthony TrenchevHe said he was relieved that a compromise had been reached with the authorities. Trenchev made the following statements on the subject:

We are pleased with this decision, which definitively ends all speculation about Nexo’s relations with the United States. We can now continue to focus on creating excellent financial solutions for our customers worldwide.

The company stated that it thinks that its talks with US regulators at the beginning of last December will lead nowhere. that you have withdrawn had announced.

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