[QUESTION] Nexo Bank Account

Hello,

I just stumbled across a Crypto Banking Website called Nexo.io which caught my interest

The only insured account that lets you borrow instantly in 45+ fiat currencies and earn daily interest on your idle assets.

It seems they are promising 8% interest on your crypto assets in the bank. That means 8% extra as a passive income only for storing your crypto on Nexo.io rather than another wallet and/or exchange. Is this too good to be true?


Please share your knowledge and experience!​

 

[Joshi]

Hello,

I just stumbled across a Crypto Banking Website called Nexo.io which caught my interest




It seems they are promising 8% interest on your crypto assets in the bank. That means 8% extra as a passive income only for storing your crypto on Nexo.io rather than another wallet and/or exchange. Is this too good to be true?


Please share your knowledge and experience!​

Interesting, but I find their terms of service sketch. This can just be a scam tbh.

 

Interesting, but I find their terms of service sketch. This can just be a scam tbh.

What about their terms? I haven't read it very carefully. The whole thing does sound too good to be true.

 

[Joshi]

What about their terms? I haven't read it very carefully. The whole thing does sound too good to be true.

For one, it's not FDIC insured or regulated by any financial body, they'd need special licenses to manage the funds.

Some of their terms,

"Nexo is permitted to revise these Terms at any time as it sees fit, and by using this Website you are expected to review such Terms on a regular basis to ensure you understand all Terms And Conditions governing use of this Website."

and

"These Terms will be governed by and construed in accordance with the laws of the Website Owner’s jurisdiction, and you submit to the non-exclusive jurisdiction of the Website Owner’s jurisdiction for the resolution of any disputes."

That second part is just obvious lol.


A few red flags is they never say where they are located or where they are licensed.

 

For one, it's not FDIC insured or regulated by any financial body, they'd need special licenses to manage the funds.

Some of their terms,

"Nexo is permitted to revise these Terms at any time as it sees fit, and by using this Website you are expected to review such Terms on a regular basis to ensure you understand all Terms And Conditions governing use of this Website."

and

"These Terms will be governed by and construed in accordance with the laws of the Website Owner’s jurisdiction, and you submit to the non-exclusive jurisdiction of the Website Owner’s jurisdiction for the resolution of any disputes."

That second part is just obvious lol.


A few red flags is they never say where they are located or where they are licensed.

You definitely spotted the red flags! In other words they're free to change the terms at any time and it's up to you to stay updated. Doesn't seem like a company that would request you read the updated terms but would rather try to sneak in loop holes to steal your money.

 

[Joshi]

You definitely spotted the red flags! In other words they're free to change the terms at any time and it's up to you to stay updated. Doesn't seem like a company that would request you read the updated terms but would rather try to sneak in loop holes to steal your money.

Exactly, best to stay away from these shady crooks. No legit institution would try to be so vague and controlling in their terms of service. We don't know what jurisdiction the website owner is in nor do we know the website owner haha!