Nexo, the crypto lending platform, is facing a brand new lawsuit.
Nexo has recently terminated its US services. A California resident stated that he was suing the company.
Nexo faces a new lawsuit
A Nexo user has sued the crypto lending company, alleging loss of millions of assets. A California resident recently sued Nexo, citing damages resulting from the firm’s “fraudulent incentive” to take out loans. Nexo believes the claim was made as an opportunistic move after reports of the company’s slow exit from the US market.
A California resident filed a complaint with crypto lender Nexo, citing damage from the firm’s fraudulent incentive to take out loans.
John Cress had an interest-bearing Nexo account, according to a complaint filed in the U.S. District Court for the Northern District of California. The person moved their digital assets to Next to earn interest. Cress alleged that Nexo had made false claims that it had borrowed against the digital assets it had invested and invested in complex financial products, rather than simply earning interest on its own assets.
According to the complaint, Cress is a longtime cryptocurrency investor. He bought Bitcoin in 2014 and bought Ethereum in 2017. It transferred them to Nexo in March 2021 to generate a return on its assets.
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