- Nexo places of work in Bulgaria had been raided by authorities early this morning.
- There are claims one of many customers was financing terrorism.
- Nexo has confirmed the incident and stated it’s cooperating with authorities.
There are experiences that the Bulgarian places of work of crypto lender Nexo are being investigated by authorities for alleged cash laundering, fraud, and tax offences. The Bulgarian Prosecutor’s Workplace has issued an announcement relating to the problem saying that investigations had been underway to neutralize what they are saying is “felony exercise” of Nexo.
In keeping with the authorities, greater than 300 individuals are at present concerned within the operation making it a serious operation in Bulgaria. In keeping with the assertion:
“Lively investigation actions are underway within the capital to neutralize unlawful felony exercise of the Nexo crypto financial institution … Proof has been collected that an individual who used the platform and transferred cryptocurrencies has been formally declared a terrorist financing particular person.”
In a Twitter thread, Nexo has stated that it cooperating with the authorities and regulators. A Nexo spokesperson additionally confirmed the raid at their Bulgarian workplace however stated that they’re one of the crucial stringent entities in relation to KYC/AML. The spokesperson stated:
“There are authorities at considered one of Nexo’s places of work in Bulgaria which is, as you realize probably the most corrupt nation within the EU. They’re making AML and tax-related inquiries a couple of Bulgarian entity of the group that’s not buyer going through, however solely has again workplace capabilities – payroll, buyer assist, compliance. We’re one of the crucial stringent entities with reference to KYC/AML.”
Taking out crypto-backed loans for money
Nexo permits customers to take out crypto-backed loans for money and in addition gives merchandise that enable customers to earn curiosity on their crypto property as a substitute of letting them lie idle. Final yr, Nexo grew to become the primary to supply a 12% APR on Apecoin.
The crypto lender has grown to develop into of the most important crypto lenders all over the world with places of work in numerous elements of the world together with in international locations like Bulgaria. It additionally ranks among the many prime ten finest crypto apps for newcomers as recorded in our earlier submit.
