• Bulgarian authorities raided Nexo’s offices early this morning on allegations of money laundering and terrorism financing.
• Nexo has confirmed the incident and is cooperating with the authorities.
• More than 300 people are involved in the investigation.
The Bulgarian Prosecutor’s Office has issued a statement early this morning, confirming the raid of Nexo’s offices in Bulgaria. The statement explains that active investigation actions are underway to neutralize illegal criminal activity of the Nexo crypto bank. Authorities allege that a person who used the platform and transferred cryptocurrencies has been officially declared a terrorist financing person.
Nexo responded to the incident via Twitter, saying that they are cooperating with the authorities and regulators. A Nexo spokesperson also confirmed the raid at their Bulgarian office and said that they are one of the most stringent entities when it comes to KYC/AML.
The investigation is reportedly involving more than 300 people. The Prosecutor’s Office has yet to issue any more details about the case, but it is believed that the raid is related to money laundering, fraud, and tax offences.
Nexo is a leading crypto lender and has become a popular platform for users to borrow money against their cryptocurrency holdings. Nexo has been praised for their transparency and compliance with regulatory authorities. This investigation could be a major setback for the company and their reputation.
It is unclear how long the investigation will last, but it is likely that the authorities will be conducting a thorough investigation of Nexo’s operations. The company has stated that they will continue to cooperate with the authorities and will be providing any information they need.
The cryptocurrency industry is currently under increased scrutiny by regulators, and this incident will likely bring more attention to the industry as a whole. It is unknown what the outcome of the investigation will be, but if Nexo is found guilty of any wrongdoing, it could have serious repercussions for the company and the industry as a whole.