Nexo Review, Usage Tips and Referral Benefits

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Sign up with Nexo via the referral link, top up $100 or more, and receive US$25 worth of BTC.

After registration, you need to:

  • pass Nexo’s KYC (Advanced Verification) to confirm your identity.
  • top up $100 or more in assets and keep them for at least 30 days in your account.

Your reward will be instantly available and will be unlocked in 30 days.

Other terms and conditions may apply.

PLEASE READ. SUPER IMPORTANT!

To qualify for the referral bonus, your balance must be at least $100 after 30 days. If you are depositing exactly $100 and not in a stablecoin, be cautious of price fluctuations that might cause your balance to fall below $100.

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Table of Contents

Company

Nexo is one of the world’s leading digital assets institution found in 2017.

One of Nexo’s advantages as a CeFi institution is that it acts as a bridge between the traditional financial world that does not offer a good yield and the wild wild west of DeFi which does but it comes with higher levels of risks in many aspects. Nexo offers both security and high yields.

Business Model

Nexo’s main strategies are market-neutral like collateralized lending, basis trading, and market making, among others.

Pillars to ensure robustness of Nexo’s products, and the safety of client funds include:

  • collateralized lending
    • even the largest and most trusted institutions do not receive credit from Nexo without sufficient collateral.
  • fully-automated processes
  • worldwide licensing
  • prudent risk management
  • real-time audit on Nexo’s reserves

Corporate Social Responsibility (CSR)

Key metrics

  • 4+ million users worldwide [May 2022]
  • Already processed $30+ billion for over 1.5 million users across more than 200 jurisdictions. [Sep 2021]

Major developments

  • launched Nexo Card together with Mastercard. The ‘world’s first’ crypto-backed payment card [Apr 2022]
  • announced the official launch of Nexo Prime [Apr 2022]
    • proprietary prime brokerage platform for institutional, corporate, and high-net-worth investors
  • announced Nexo Ventures [Mar 2022]
    • a $150M in-house venture fund
    • will be led by Tatiana Metodieva, CFA, Nexo Head of Corporate Finance and Investments.
    • areas of focus include Web3; DeFi innovation; Metaverse, NFTs & GameFi; payment & trading infrastructure; and compliance solutions for more effective regulatory alignment.
  • acquisition of a stake in Texture Capital [9 Nov 2021]
    • Nexo unveiled the acquisition of a stake in Financial Industry Regulatory Authority (FINRA) member and SEC-registered broker-dealer Texture Capital as part of the latter’s seed funding round.
    • Founded in 2019, Texture Capital offers a regulated, blockchain-enabled marketplace that caters to accredited and institutional investors, while also enhancing private capital liquidity. The company has a unique competitive advantage being one of a handful of broker-dealers licensed for issuance and trading of Digital Asset Securities in addition to being registered in all 50 US states as well as several territories.
    • In a nutshell, the deal could make Nexo the first-ever crypto lender to have a broker-dealer licence.

Presence in Singapore

Unknown

Regulatory compliance

In order to ensure the provision of their portfolio of services in full compliance with all applicable global and local regulations and standards, the Nexo companies hold licenses and registrations in numerous jurisdictions worldwide.

On 24 May 2022, Nexo announced its official participation in TRUST, the Travel Rule Universal Solution Technology. TRUST is an industry-driven solution for top-tier compliance with The Bank Secrecy Act also known as the “Travel Rule”.

Singapore

Licensing status under Monetary Authority of Singapore (MAS): Unknown

Reviews

  • TrustPilot: Nexo
    • Verified company
    • Average 4.5 stars and graded ‘Excellent’ from 9091 reviews [Jun 2022]

Ecosystem

NEXO Token

NEXO Tokens are a fundamental part of the Loyalty Program – more tokens in the Nexo Wallet mean higher yields on savings and lower interest for your credit line.

Nexo Booster

A leverage product on the Nexo platform. Learn more from Nexo’s blog article “The Nexo Booster: How & Why to Use It + a Quick Q&A”.

Nexo Earn

The flagship feature of the Nexo platform, offering compounding interest payouts. Additional interest is payed out if users opt to receive them in NEXO tokens.

Schemes:

  • FLEX:
    • daily payouts
    • withdraw funds at any time
    • no minimum contribution
  • Fixed:
    • offers the highest savings yields available on Nexo

Аssets held in the Credit Line Wallet (i.e. assets being used as collateral) won’t earn interest with the exception of the NEXO Token.

Nexo Exchange

The Nexo Exchange lets you buy, sell, and convert your crypto and FiatX all from the Nexo Wallet App or Nexo platform.

Nexo supports 200+ market pairs, and fixes the rate the moment you place your order. That means the price you see is the price you pay.

Nexo is connected to multiple trusted and well-capitalized exchanges, allowing them to give users a quote based on the best spot price and volumes. This means you always get the best available price on the market.

Nexo Loyalty Program

The Nexo Loyalty program is a four-tier system, comprising Base, Silver, Gold, and Platinum levels, which extends benefits depending on the amount of NEXO Tokens you hold across your Nexo Savings and Credit wallets, as combined in the Portfolio Balance.

The requirements for each tier are as follows:

  • Base: No NEXO Tokens are needed
  • Silver: At least 1% of the Portfolio Balance in your account must comprise NEXO Tokens
  • Gold: At least 5% of the Portfolio Balance in your account must comprise NEXO Tokens
  • Platinum: At least 10% of the Portfolio Balance in your account must comprise NEXO Tokens

Loyalty Benefits

  • reducing borrowing rates for the Instant Crypto Credit Lines
  • increasing yields with the Earn on Crypto & FiatX suite
  • increasing the number of free crypto withdrawals per calendar month
  • earn cashback when using the Nexo Exchange

Nexo Multichain Bridge

This is only the initial phase and Nexo is committed to adding more bridges for new assets and blockchains for their clients' convenience.

Announced on 31 March 2022, the Nexo Bridge enables automatic and immediate transfers with no bridge fees for transfers between ETH & Polygon and introduces a cheaper and faster way to transfer assets to Nexo via the Polygon network.

✔️ Unique Selling Proposition (USP)

Daily payout for FLEX savings

Nexo Earn pays out daily for FLEX savings.

Free crypto withdrawals (up to 5)

Depending on your Loyalty tier, you will receive between 1 and 5 monthly crypto withdrawals to an external wallet that are feeless.

Nexo free crypto withdrawals depends on your loyalty membership tier

The counter for free crypto withdrawals will reset on the first day of each month, after which you can make another set of free withdrawals.

Instant swaps

Exchange any of the available market pairs in real-time. Your balances are updated instantly, the moment your order is confirmed.

Insurance of assets

Top-tier insurance of up to $775M (was $375M prior to Jun 2022) on all custodial assets. Insurance provided through Lloyd’s of London and Arch & Marsh via various custodial partners.

Low cost option to transfer stablecoins

The Nexo Multichain Bridge launched in March 2022 helps users reduce transfer fees to a minimum.

At the initial phase, the bridge will support top-ups and withdrawals for USDC, USDT, DAI, and MATIC between the Ethereum and Polygon blockchains.

Here are three use cases for the Nexo Multichain Bridge:

  1. Top up your Polygon USDC, USDT & DAI to your Polygon addresses with near-zero gas fees.
  2. Withdraw your Polygon or ERC-20 USDC, USDT & DAI to your Polygon addresses with no gas fees.
    • all withdrawals on the Polygon network are free and will not count towards your monthly free withdrawals limits.
  3. Withdraw your Polygon USDC, USDT & DAI to your Ethereum addresses much faster.

Platforms that support stablecoin transfers over Polygon include:

Maximum security for assets

  • Military-grade security. Assets on Nexo are held in cold storage bank-grade Class III vaults via SOC 2 Type 2 certified custodians
    • partners include BitGo, Ledger Vault and Fireblocks.
  • Nexo has established a comprehensive institutional agreement with Fidelity Digital Assets. As part of the alliance, assets placed under Nexo’s care will benefit from Fidelity’s insured enterprise-grade custody.
  • Nexo has partnered with trusted digital asset platform Bakkt Holdings (NYSE: BKKT). [Jan 2022]
    • Bakkt is supporting Nexo through the Bakkt Warehouse – the company’s regulated custodian – which allows for safe and secure storage of Bitcoin and Ethereum.
    • Nexo users also benefit from $125M of insurance in place at the Bakkt Warehouse.
  • ISO/IEC 27001:2013 compliant information security management systems.
  • All funds are 100% asset-backed by Nexo’s portfolio of 200-500% overcollateralized crypto credit lines.
    • PCAOB certified auditor and leading US accounting firm Armanino offers a real-time audit of Nexo’s custodial assets, showing assets always exceed liabilities.

Pay exactly what you see

Unlike most exchanges where prices might fluctuate by up to 5%, Nexo fixes the rate the moment you place your order. That means the price you see is the price you pay.

Usage Notes and Tips

Know Your Customer (KYC) process

Nexo’s Advanced Verification is implemented using the Jumio KYC platform and is very convenient. For Singaporeans, you will need to take photos of the front and back of your ID, and follow some simple instructions for facial recognition using your mobile’s camera.

Regulatory compliance policies

If the government in my country decides they want crypto banned, what will you do to protect my crypto holdings?

Information from email received on 1 Dec 2021:

“A country cannot ban crypto. They can ban crypto companies from operating with its residents, they could ban crypto transactions from their banking system, they could ban some of the products crypto companies offer. This does not change the fact that you still own your crypto. In the unlikely event that an outright ban happens, we will do everything in our legal and regulatory powers to assist our clients to continue to operate with their digital assets.