- Nexo announced that they plan to cease their services in the U.S.
- Nexo no longer accepts new registrations as they are shutting off in the U.S.
Nexo, a crypto borrowing and lending industry revealed on December 5 that it intends to shut off its services in the United States over the next few months. It also stated that it was halting its products and services in the United States due to a lack of regulatory clarity.
Today we are announcing the regrettable but necessary decision that Nexo will be phasing out its products and services in the United States due to a lack of regulatory clarity. 🧵
— Nexo (@Nexo) December 5, 2022
Nexo Shutting Down in the United States
Nexo noted in a blog post that this decision came after more than 18 months of discussion with US officials and federal rules that had come to a halt. They also noted that, despite claims to the contrary, the US has refused to create a road forward for enabling blockchain enterprises.
Also, they argued that they cannot give their customers confidence that regulators are working out for their best interests. They also stated that beginning Dec 6, they will make the services not available to consumers in New York and Vermont.
Furthermore, additional registrations for the platform earn interest products in the United States have been suspended, and it is no more available to users in eight further states. And for the time being, existing clients should have access to the products.
Following the recent failures of crypto firms including FTX, Voyager, and Celsius, US regulations have come under scrutiny. Some lawmakers in the United States have urged that regulators should grant more expansive powers to monitor cryptocurrency exchanges. On the other hand, certain tech giants have claimed that overregulation is driving US investors to riskier overseas exchanges.
