On Monday, the beleaguered British cryptocurrency lender Nexo, which is already under investigation by regulators in eight U.S. states, said that it had reached a dead end with U.S. regulators over the past 18 months and would gradually wind down its operations in America.
American regulators don't provide a path for enabling businesses with the help ofBlockchain, according to the company. Our decision comes after more than 18 months of good-faith dialogue with U.S. state and federal regulators, which has come to a dead end, Nexo said.
A year ago, the embattled company was caught in the eye of regulators for allegedly providing interest-earning accounts through unregistered securities. Nexo said that there was a lack of regulatory clarity as the chief reason for its decision to leave America.
On Tuesday, Nexo plans to stop using its interest-earning accounts in the eight states, including Indiana, Kentucky, Maryland, Oklahoma, South Carolina, Wisconsin, California and Washington.