Nexo bitcoin withdrawals surge after Bulgarian office raid – Bitcoin News

Since January 12, 2023, the digital currency lending platform has experienced a significant withdrawal after the offices of cryptocurrency lender Nexo were raided in Bulgaria. An archived snapshot of Nexo’s real-time attestation shows that the company held 133,263 bitcoins that day. As of January 13, 2023, Nexo’s attestation shows that the company currently holds 124,939 bitcoins, and $157.21 million worth of bitcoins were mined in the last 24 hours.

Customers withdrew $157 million worth of Bitcoin from the Nexo platform in 24 hours

A number of exchanges have faced withdrawal stress tests in the past year, and after Thursday’s raid on Nexo’s office, the crypto lender is dealing with similar issues. Reports dated January 12, 2023 revealed that Nexo was being investigated by the Bulgarian Attorney General and about 300 investigators from various agencies. The company is accused of violating tax requirements, participating in money laundering and evading financial sanctions related to the Russian Federation.

Nexo’s real-time attestation site.

Nexo denied any wrongdoing and immediately issued a public statement on Twitter that the company followed “very strict anti-money laundering and know-your-customer policies.” After the incident, the company saw a wave of backlash, according to its real-time attestation website. For example, on January 3, 2023, Nexo held approximately 134,203 bitcoins, worth $2.5 billion using current BTC rates. As of January 12, 2023, the cryptocurrency’s BTC holdings have dropped to 133,263 bitcoins.

Twenty-four hours later, on Friday, January 13, 2023, Nexo’s BTC holdings fell by 8,324 BTC to their current level of 124,939 BTC. This means that using current BTC rates, $157.21 million was withdrawn from Nexo’s bitcoin cache. Nexo’s withdrawal follows a number of other exchanges that have experienced large withdrawals in a short period of time. After the collapse of FTX, users withdrew significant amounts of digital assets from exchanges such as Binance, Kucoin, and

It’s unclear what will happen with the lawsuit against Nexo in Bulgaria, but with the rate of withdrawals over the past day, customers seem to be worried. Speaking to a reporter from The Block Yogita KhatriCo-founder of Nexo Antony Trenchev said withdrawals were only 2% of the company’s assets under management (AUM). “Nexo can confirm that all systems are operational and everything is being processed in real-time as usual,” Trenchev told Khatri on Friday. “The activity is orders of magnitude smaller than the indicators following Celsius and FTX,” said a Nexo executive.

Tags in this story

Action, Assets, Attorney General, Bitcoin, Bulgaria, Bulgarian Offices, Bulgarian raid, concern, Crypto lender, Crypto lenders, Customers, denial, Exchanges, Executive, Financial sanctions, Investigation, scale, Management, Money laundering, Nexo, post- Celsius , post-FTX , processing , Raid , realtime , realtime attestation , Russian Federation , Sofia Raid , Stress Test , systems , tax evasion , withdrawal

What are your thoughts on the recent withdrawals from Nexo and the ongoing investigation in Bulgaria? Share your thoughts in the comments below.

Jamie Redman

Jamie Redman is Head of News at News and a fintech journalist based in Florida. Redman has been an active member of the cryptocurrency community since 2011. He is passionate about Bitcoin, open source code and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for News about disruptive protocols emerging today.

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