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Odaily Translator | Nian Yin Si Tang

, original author: Yueqi Yang

Odaily Translator | Nian Yin Si Tang

Crypto lending firm Nexo Inc. is phasing out its products and services in the U.S. market after being ordered to stop by several states for its interest-bearing products.

"We had more than 18 months of good faith dialogue with U.S. state and federal regulators that ultimately reached an impasse," Nexo said in a statement on Monday. "Despite initial encouragement from regulators to cooperate, a sustainable The path forward appears feasible, but the events of recent weeks and months and subsequent changes in regulator behavior point in the opposite direction," the company said.

Nexo also said it would continue to process withdrawals in real time during the planned "orderly exit" from the US. According to Nexo's website, the company has more than 5 million users in 200 jurisdictions around the world. The company now has $2.6 billion in total client liabilities, according to its real-time certification data, and its assets outweigh its liabilities.

Nexo Inc. was incorporated in 2018 as a Cayman Islands corporation and Nexo Financial LLC is a Delaware limited liability company with its principal place of business in London, according to state regulators.

In September, regulators in eight U.S. states, including California, Kentucky, Maryland, New York, Oklahoma, South Carolina, Vermont and Washington, said Nexo had failed to register investment products as securities. Interest-bearing accounts were offered under certain circumstances, and the states filed a cease and desist order against Nexo. It is understood that the company's income account was marketed and used by retail investors.

In a statement, Nexo said it had pulled customers from New York and Vermont and would suspend Earn products in eight more states starting tomorrow.

Nexo also said it had a “net exposure of $0” to FTX and its related trading arm, Alameda, on Nov. 8, three days before FTX filed for bankruptcy protection. Nexo later added that the company "provided a small loan to Alameda."official statementAt the end of November, Nexo

official statement, which has zero exposure to BlockFi and Genesis, and has never provided unsecured loan services to other companies, has always focused on automated, secured credit facilitation to ensure sustainable growth.at the same time,