Crypto lending platform Nexo Capital has agreed to a $45 million settlement with the SEC and other state regulatory bodies for failing to register the offer and sale of its Earn Interest Product.
in two separate statements on Jan. 19. According to a statement from the SEC, Nexo agreed to pay a $22.5 million penalty and cease its unregistered offer and sale of the EIP to U.S. investors.
NASAA in its Jan. 19 statement said that the settlement in principle comes after investigations into Nexo's alleged offer and sale of securities after the past year of investigations. "Nexo maintained total discretion over the revenue-generating activities utilized to earn returns for investors. The company offered and promoted the EIP and other products to investors in the U.S. via its website and social media channels suggesting in some instances that investors could obtain returns as high as 36%," it stated.
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