Nexo Partners with Bakkt for US Crypto Exchange and Yield Programs

TLDR

• Nexo is relaunching its crypto services in the United States after more than three years of absence.
• The platform will offer yield programs, a spot exchange, and crypto-backed credit lines to US users.
• Nexo has partnered with Bakkt to provide the trading infrastructure for its US operations.
• The company’s return is driven by improved regulatory clarity for digital assets in the US.
• Nexo’s new US operations will be based in Florida and run by an announced management team.

Crypto platform Nexo is set to return to the United States after more than three years. The company paused its operations in 2022 due to regulatory concerns. Now, with clearer guidelines in place, Nexo aims to offer crypto services including yield programs, a spot exchange, and more.

Nexo Partners with Bakkt for Trading Infrastructure

Nexo’s trading infrastructure will be powered by Bakkt, a US-based digital asset platform. Bakkt primarily serves institutional clients but will help Nexo build its new US offering. Eleonor Genova, Nexo’s head of communications, confirmed that the platform will provide both flexible and fixed-term yield programs.

The platform will also feature crypto-backed credit lines and a loyalty program for US customers. Nexo’s management team will operate the new venture from Florida, with plans to announce the team soon. Genova emphasized that all services will be offered through partnerships with licensed US providers.

After leaving the US market in late 2022, Nexo now sees improved regulatory clarity for digital assets in the country. The company originally withdrew due to what it called an unfriendly regulatory environment under former SEC chair Gary Gensler. Nexo’s “Crypto Earn” program, which lets users earn interest on their crypto holdings, was a key issue in the company’s exit.

Nexo settled with the SEC in 2023, agreeing to pay $45 million for failing to register its interest-bearing program. The company later shut down the program for US users, marking the end of its earlier US operations. Despite these setbacks, Nexo now believes the regulatory landscape is more favorable for blockchain businesses.

Nexo’s Relaunch and US Crypto Regulatory Landscape

Nexo’s return comes as the US continues to work on crypto regulations. The House recently passed the CLARITY Act, but the Senate has yet to move it forward. Patrick Witt, a White House crypto advisor, called for compromises to pass crypto-related legislation before the 2024 elections.

This renewed effort to regulate crypto coincides with Nexo’s own regulatory framework. Genova stated that the new US operations are compliant with US securities laws. The company hopes to provide a stable platform for crypto users amid ongoing regulatory discussions.

Nexo’s rebooted platform will rely on third-party advisory services registered with the SEC. This ensures that the services offered are in line with applicable securities laws. The crypto exchange aims to establish itself as a trusted platform for US users after its previous exit.

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