- January 21, 2023
- Posted by: Stratford Team
- Category: Economy
Crypto lender Nexo Capital has agreed to pay $45mn to settle charges by US states and the Securities and Exchange Commission over failing to properly register a crypto asset lending product as a securities offering.
The SEC on Thursday said that the charges were linked to Nexo’s Earn Interest Product, which allowed US investors to lend cryptocurrency to the company in exchange for promised interest payments.
Nexo agreed to pay two tranches of $22.5mn to settle similar charges brought by the SEC as well as US state regulatory authorities, the agency said. The company also agreed to discontinue the sale of its product to US investors.
“Compliance with our time-tested public policies isn’t a choice,” Gary Gensler, SEC chair, said in a statement. “Where crypto companies do not comply, we will continue to follow the facts and the law to hold them accountable.”
The company is the latest crypto lender targeted by state and federal authorities, who…
