Crypto lender Nexo changes interest policy for US users
Nexo announced its policy change in the interest rate plans for new and old users because of the scrutiny issues by US regulators.
Nexo is a crypto lending platform, which offers its users to earn 20% on their crypto holdings. Due to its high-interest rates, many people are moving toward such platforms, where interest rates are more than traditional Bank interest.
In the latest, Nexo announced to change its policy, however, not many details have been provided by the Nexo executives but they confirmed that changes will take place soon. And these changes happen because of the scrutiny on its product and services by the US Securities and Exchange Commission (SEC).
According to the email statement, these changes will take place only for US-based users.
“voluntarily implemented changes to its Earn Interest Product in the U.S. to comply with newly-announced guidance.”
Nexo platform confirmed that all the users, which are already registered with the platform will continuously earn interest on the balance of their digital assets.
“Nexo’s registered clients who are currently earning interest on the platform will continue to do so on their existing digital asset balances only.”
Now, the Nexo team will create separate interest rates plans for its users and after that Nexo will introduce its Earn Interest Product 2.0. After the introduction, all the existing plan users will go through a new interest system automatically.
“Once complete, all new accounts will be transferred to the Earn Interest Product 2.0 and the new top-ups will earn interest.”
These things are showing that in the future, non-US users will also face such kinds of changes because regulators of different countries always follow each other to sustain the traditional financial system in the long run. However, right now Nexo confirmed that such new chances will remain unaffected to the non-US people.
“Non-U.S. clients are not subject to the SEC’s guidance and remain unaffected by any of these changes.”
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