What is NEXO?
Nexo is a provider of instant credit lines, where whoever asks for the loan leaves cryptocurrencies as collateral. It is the only loan company serving more than 200 jurisdictions and the only portfolio that allows instant borrowing in more than 45 fiat currencies.
In October 2019, Nexo announced lowering interest rates on its credit service line after securing profitable long-term financing. The instant loan platform claims that they now offer the lowest rates in the ecosystem.
Nexo's crypto lines of credit reportedly start at 5.9% with no minimum repayment requirements and no credit check and are available in longer than 200 territories. Nexo permits digital asset owners to borrow against a basket of several digital coins, for example, Bitcoin, Ether (ETH), Ripple (XRP), Litecoin (LTC), and other cryptocurrencies, without losing ownership of their assets.
With more than 250,000, Nexo's dividend yield is reportedly higher than all dividend-paying stocks listed on the S&P 500 market index. Nexo launched a branded cryptocurrency credit card MasterCard, the world's first card that allows users to spend their crypto value without having to finish it.
Collateral Protection Insurance:
Nexo is a founding division of the Collateral Protection Insurance Consortium (CPI), along with nine companies from the blockchain ecosystem, which brings collateral insurance to the blockchain space. It was developed by the founders of Credissimo, a European fintech with more than ten years in the market, 350,000 clients, and more than 1,400,000 applications for different types of loans. For its development, Nexo carried out an ICO that ended on April 1, 2018, where it raised USD 51 million.
About Nexo's competitors:
Cointelegraph previously reported that Nexo's competitor, Celsius Network, surpassed $ 300 million in deposits in just 12 months and completed more than $ 2 billion in coin loan origination. Celsius conducted more than 160,000 coin loan operations and distributed more than $ 3 million in interest fees. Celsius declared that it had become the fastest-growing lending platform in the world.
Lending platforms offer an alternative between both options but do not provide the security that Bitcoin offers through its unique cryptography system.