Crypto Lender Nexo Pays $45 Million in Fines to SEC, States

  • Nexo interest-paying product allegedly was a security
  • Firm pays SEC and states $25 million each in penalties

Digital-asset firm Nexo Capital will pay $22.5 million to the Securities and Exchange Commission. 

Photographer: Andrew Harrer/Bloomberg

Lock
This article is for subscribers only.

Digital-asset firm Nexo Capital Inc. will pay $45 million in penalties to US federal and state regulators over allegations that it broke securities rules by offering a crypto lending product.

The Securities and Exchange Commission on Thursday said that Nexo’s Earn Interest Product amounted to a security that should have been registered with the agency. It’s the latest in a series of cases that Wall Street’s main regulator has brought over similar products.