Nexo’s business model and the gold standard in digital finance

At Nexo, we blend unparalleled digital asset expertise with a forward-looking vision for financial services. Since our inception, we’ve built a reputation for stability, reliability, and innovation, navigating the complexities of the digital economy to deliver best-in-class solutions.

The foundation of digital asset expertise: risk management

Nexo’s operations are underpinned by a meticulously designed business model that prioritizes security, efficiency, and sustainability. Central to our approach is a real-time risk engine, fine-tuned over years of navigating volatile markets. Our disciplined approach to cash flow management has enabled us to implement a conservative risk management policy to ensure long-term sustainability. This foundation safeguards clients’ funds, reinforces financial stability, and positions us to seize growth opportunities.

A tried and tested platform, premium OTC, private services

Nexo’s ecosystem offers intelligent, seamless solutions tailored to the needs of retail and institutional clients alike:

Over-collateralized credit: The Nexo platform offers industry-leading crypto-backed loans with flexible terms secured by an over-collateralization ratio between 111% and 666%. This means our platform’s fully automated credit lines are backed by up to 6.6x more collateral than needed. Nexo also offers margin lending and institutional OTC loans.
Earn interest products: Competitive, sustainable yields designed for long-term growth and stability.
Trading services: Deep spot and futures liquidity, best execution pricing, and advanced tools.
Nexo Card: A dual-mode crypto payment card that lets clients either borrow against their crypto as collateral (credit mode) or spend it directly (debit mode), with flexible switching between modes. It supports multiple cryptocurrencies and offers features like compound interest on unused balances.
White-label solutions: Enable businesses to integrate lending, earning, and trading features under their own brand using Nexo’s secure, scalable infrastructure.
Premium OTC services: Client-tailored solutions through Nexo Private’s OTC desk, offering trading, lending, and borrowing options designed to meet individual needs.

At Nexo, we continuously leverage our business acumen, technology, and know-how to drive innovation within the digital assets ecosystem, including through:

Addressing the evolving needs of HNWIs and professional investors: By providing tailored solutions that align with the unique demands of sophisticated market participants, we ensure access to premium digital asset services that combine flexibility, security, and efficiency.
Building a strategic partner ecosystem: Through B2B services such as white-label solutions and payment gateways, we empower businesses to enter untapped markets with confidence. These partnerships allow us to extend the reach of our infrastructure while fostering innovation and growth across the broader landscape.

Conservative risk management

Nexo’s protocols are battle-tested and combine cutting-edge technology with sound risk management. In fact, Nexo’s automatic repayments system is similar in design to that of DeFi protocols. Should the collateralization ratio fall below 120%, portions of the collateral are automatically liquidated on several exchanges.

Compared to leading DeFi lending protocols, however, our liquidation engine is diversified across both centralized and decentralized exchanges, making Nexo much more efficient in execution and resilient to liquidity crunches.

Our trading services operate differently from traditional crypto exchanges that use in-house matching engines and order books. Instead, we aggregate liquidity from multiple venues through smart order routing, ensuring clients benefit from competitive pricing and access to deep liquidity. This model enables us to continually advance our infrastructure and generate revenue from the trading services provided while delivering efficiency and value to our clients.

All of these activities – exchange services, crypto-backed loans, and collateral liquidations, along with our award-winning Nexo Card, are revenue generators that require Nexo to hold on and move balances across a number of exchanges and DeFi protocols as part of our standard operations.

This operational setup allows the company to seize opportunities for alpha generation in market-neutral ways for its clients and its own treasury:

Dynamic collateral monitoring: Our proprietary liquidation engine operates seamlessly across centralized and decentralized exchanges, ensuring unmatched efficiency during market turbulence. Borrowers benefit from overcollateralized loans, where collateral value always exceeds the borrowed amount, minimizing counterparty risk. In the event of market downturns, the fully automated liquidation process swiftly converts collateral to maintain loan stability, reducing exposure for both borrowers and lenders. This ensures that obligations are met without manual intervention, even in highly volatile conditions.
Proven resilience: Nexo’s engineering excellence ensures uninterrupted operations, with zero outages even during system updates and maintenance. Our robust infrastructure, powered by advanced database solutions, guarantees high availability and scalability, enabling us to deliver seamless services to our clients through all market conditions.

Market-neutral revenue strategies: At Nexo, we proactively adapt to market conditions by employing advanced, market-neutral strategies that generate consistent value for clients and treasury operations. This includes capturing arbitrage opportunities to leverage price inefficiencies across exchanges and optimizing yield through staking and lending strategies that maximize earnings while maintaining liquidity.

A vision for the future

As the digital finance landscape matures, Nexo continues to set the benchmark for excellence and prudence:

Expanding horizons: From various digital assets to compliant institutional solutions, we’re bridging traditional and decentralized finance close together.
Unmatched security: At Nexo, security is paramount. We continuously validate and refine our protocols by undergoing rigorous audits, including ISO certifications and data security assessments. These measures uphold the integrity of our systems and ensure robust safeguards are always in place.
Pioneering innovation: We empower clients with tailored solutions, offering a range of flexible options designed to meet diverse needs while maintaining the highest standards of reliability and efficiency.

Our commitment to you

At Nexo, we don’t just follow the evolution of wealth – we drive it. Since our inception, we’ve processed over $320 billion without a single dollar lost, issued more than $8 billion in credit, and built a robust platform with over $11+ billion in assets under management. By combining industry-leading security, innovative solutions, and personalized client care, we’ve redefined what’s possible in digital finance. The future of wealth is fast, dynamic, and borderless, and we’re here to ensure you’re always a step ahead. Whether you’re building, preserving, or utilizing wealth, Nexo empowers you to do it all seamlessly, securely, and on your terms. Welcome to the future of financial freedom – welcome to Nexo.

Stay secure. Stay ahead.