NEXO
Nexo is a blockchain-based, cryptocurrency-backed loan system developed by the European FinTech firm Credissimo. When a user puts coins or tokens of a supported cryptocurrency into a Nexo wallet, they get an instant USD or EUR cash loan. The Nexo Oracle figures out the details of a loan and stores them in an Ethereum smart contract. The NEXO token is an interest-bearing ERC-20 security token marketed by the firm as "SEC-compliant."
Nexo was founded by Antoni Trenchev. Prior to establishing Nexo, Trenchev played a pivotal role in promoting the adoption of blockchain and cryptocurrencies. He was a member of Bulgaria's National Assembly from 2015 to 2017. During that time, he opted for blockchain solutions for e-government services and talked to Bloomberg, The Independent, and CNBC about current events in crypto and digital finance.
Nexo is headquartered in London and employs 150 people. The platform has over a million members globally and manages $4 billion in assets.
Nexo is the first company to offer fast cryptocurrency-backed loans and aims to eliminate market inefficiencies. It has an automated lending process that uses smart contracts and an oracle hosted on the Ethereum blockchain to handle loan management. After a user sends cryptocurrency to a wallet controlled by Nexo, the oracle sets up the loan and gives the user the money right away. When the user makes a deposit to pay back the loan, the oracle gives back the cryptocurrency and records the transaction on the blockchain. Smart contracts run NEXO and keep track of user balances.
Collateral-backed loans: Crypto-backed flash loans are Nexo's most popular product. Users can obtain fast and instant loans by simply placing their crypto assets on the Nexo platform and receiving an instant account credit.
NFT lending: Users can get loans by putting up their NFTs as collateral. If the NFT's value exceeds $500k, a fund manager will provide the quote for the NFT-backed loan and a digital agreement will be made on the blockchain to allow the NEXO smart contract to transfer the loan amount to the customer.
Nexo Booster: On Nexo, users can leverage their crypto assets to trade larger volumes on the platform by utilizing their crypto holdings.
Nexo Card: Users can gain up to 2% in NEXO or 0.2% in BTC. Nexo's cardholders can earn rewards on cryptocurrency transactions. People can use the card's credit limit.
Taking out a loan- On Nexo's platform, you can lock cryptocurrencies inside a smart contract and later get fiat currency as a loan. In this manner, you can obtain funds without having to sell assets. This is helpful if you need money but are unwilling to give up your positions. Lending Money- By lending others money, you can make money (in the form of interest). This is done by putting fiat money on the Nexo platform. Interest rates can be different, but they are always much higher than the interest you get on a savings account. This is why lending money on the Nexo platform can be appealing. Payment Card- Nexo has created a credit card that may be used for in-store purchases. Prior to using the payment card, you must secure it with cryptocurrency. Each time a payment is made, a reserve of fiat currency is established. These reserved sums must be repaid, as with any credit card.
| DATE | NEWS/EVENTS | IMPACT |
| 07/11/2022 | Cryptocurrency platform Nexo is being sued by New York, California, and six other US regulators | -31% Decrease |
| 13/06/2022 | Nexo proposes to buy out Celsius' loans despite a withdrawal | -37% Decrease
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| 27/04/2022 | Nexo Token experiences a surge after Binance Listing | +60% Increase |
The Nexo ecosystem has become more popular because it is easy to use and has everything you need in one place. Their earning product is automated, and getting a cryptocurrency-backed loan is simple. By holding NEXO Tokens, users can obtain additional benefits from their platform, and with the release of the Nexo Card, an increasing number of individuals will join the Nexo community.
