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NEXO

NEXO Logo Ticker

NEXO crypto

NEXO is a loan platform that has lent more than $12 Billion USD to over 1,000,000 users. NEXO enables people to borrow money instantly in 40+ fiat currencies. Users deposit cryptocurrencies as collateral on the platform. NEXO also enables users to earn interest on USD, EUR, GBP and various stablecoins (High-Yield Interest Rates on Euro – Earn 12% with Nexo, 100% Asset-Backed Guarantee).

What is NEXO?

The minimum loan amount is $50 USD, and a maximum of 2M USD. The costs start at 5.9% interest per year when using the NEXO token as collateral. These costs are higher when using other cryptocurrencies as collateral. Users are interested in NEXO loans because cryptocurrencies have huge growth opportunities. NEXO enables them to get access to fiat without having to sell their crypto first. Loans can be easily repaid in NEXO, or other fiat- and cryptocurrencies.

General info about NEXO

NEXO Organisation & Team

NEXO was developed by the successful FinTech company Credissimo. Credissimo was founded in 2007 and is one of the largest European FinTech companies in the lending industry. Credissimo has 150 employees and handled more than 1,400,000 loan applications and provided more than 102,000 loans in 2019. Credissimo has won several awards in the financial sector and for the quality of their services. Finally, NEXO was established in 2017.

More about Credissimo and its relationship with NEXO can be read in this article: Before Nexo, There Was Credissimo

The Team

NEXO doesn’t share their team members on their website. There are three co-founders: Kosta Kantchev, Antoni Trenchev and Vasil Pretrov. Kosta Kantchev is also the co-founder of Credissimo.

There are three managing partners: Kosta Kantchev, Georgi Shulev and Antoni Trenchev. Georgi Shulev has a background in the banking industry and also works/worked at Credissimo, where he focused on business development and the international expansion of Credissimo. Antoni Trenchvev has been a Member of Parliament at the National Assembly of Bulgaria and Chief Innovations Officer at Credissimo

The third co-founder Vasil Pretov is also the CTO of NEXO and has a lot of experience in the field of technology. He is also the co-owner of Drooble, a social network for musicians.

The rest of the team mainly consists of team members who also work at Credissimo.

Use case of NEXO

As mentioned, NEXO is a security token. Last time I did my research (2018), NEXO complied with Rule D, Rule 506 (c) of the Securities and Exchange Commission Regulation D. This makes it possible for NEXO to pay dividends to the token holders. The source I used in 2018 with proof no longer exists. I’d need to do more research to see if they still comply.

To receive dividends, users need to meet the following two requirements:

  1. You need to hold your NEXO in your account (during the snapshot) to receive dividends. You can create an account on Nexo (Instant Crypto Credit Lines).
  2. Pass KYC (Know-Your-Customer) on the platform. This takes several minutes and is required to comply with SEC legislation.

Dividend details are explained in this Medium post (Nexo Dividends Explained). NEXO distributes 30% of their net profit to their token holders. There’s a base dividend (for all users that hold NEXO in their account) and a loyalty dividend (based on how long you’ve held NEXO in your account). The last dividend distribution was August 2019.

Where to buy and sell NEXO?

What do we think about NEXO?

NEXO is very popular among the crypto community. NEXO seems to have all their ducks in their row and seems to comply with all legislations and regulations. NEXO has a team with a lot of experience in the financial lending industry, which makes it more likely for NEXO to become successful.

NEXO Logo Ticker

Conclusion about NEXO

NEXO has seen significant growth this past year. And, with DeFi continuing its growth, most likely so will CeFi. NEXO has what it takes to remain a market leader and I’m eager to follow their journey.

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