Crypto lending giant Nexo has announced that it;would shut down;its two entities in the U.K., Nexo Financial Services Ltd. and Nexo Clearing and Custody Ltd.
The company's co-founder Antoni Trenchev cited the restructuring plans while explaining the decision.
- The company has requested these two entities to be removed from the U.K. companies register this month.
- Trenchev underlined that the decision does not mean they plan to exit the U.K.
- The move came several months after Bulgarian prosecutors charged four people as part of an investigation into Nexo with allegations of forming an organized crime group involved in;money laundering, conducting unlicensed banking activities, and committing tax and computer crimes.
- The firm also recently agreed to pay $45M in penalties to settle the U.S. Securities and Exchange Commission's (SEC) charges of;securities;laws violations.;
- Following the penalty, Nexo announced that it would halt its operations in the U.S., exiting the country.
- Nexo, founded in 2018, offers crypto trading services, custody services, loans, interest-earning products, and debit cards.
- The company has more than 5 million users worldwide and 600 employees across Bulgaria, the United Arab Emirates (UAE), and the U.K.
- The platform has around $2B in assets under management.