- Nexo places of work in Bulgaria have been raided by authorities early this morning.
- There are claims one of many customers was financing terrorism.
- Nexo has confirmed the incident and mentioned it’s cooperating with authorities.
There are studies 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 have been underway to neutralize what they are saying is “prison exercise” of Nexo.
In keeping with the authorities, greater than 300 persons are at present concerned within the operation making it a significant operation in Bulgaria. In keeping with the assertion:
“Lively investigation actions are underway within the capital to neutralize unlawful prison 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 mentioned that it cooperating with the authorities and regulators. A Nexo spokesperson additionally confirmed the raid at their Bulgarian workplace however mentioned that they’re some of the stringent entities with regards to KYC/AML. The spokesperson mentioned:
“There are authorities at considered one of Nexo’s places of work in Bulgaria which is, as you recognize essentially the most corrupt nation within the EU. They’re making AML and tax-related inquiries a few Bulgarian entity of the group that’s not buyer dealing with, however solely has again workplace capabilities – payroll, buyer help, compliance. We’re some of the 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 offers merchandise that enable customers to earn curiosity on their crypto belongings as a substitute of letting them lie idle. Final yr, Nexo turned the primary to supply a 12% APR on Apecoin.
The crypto lender has grown to change into of the most important crypto lenders all over the world with places of work in varied components of the world together with in nations like Bulgaria. It additionally ranks among the many high ten finest crypto apps for rookies as recorded in our earlier publish.
