What are Nexo Tokens (NEXO) How They Work & Where To Buy Them?

Nexo positions itself as a crypto lending platform and offers a variety of options to users. The company has quickly grown to become one of the most popular lending platforms on the market.

The Nexo token plays a crucial role on the Nexo platform and holding Nexo tokens gives users exclusive features such as trading discounts and governance rights.

NEXO is currently the 68th largest cryptocurrency by market capitalization.

How Nexo (NEXO) Works

Nexo is an innovative platform that allows users to take out instant crypto loans -providing them with a quick and easy cash solution.

Nexo is a blockchain-based system that is centered around the native NEXO token. All actions taking place on the Nexo platform are powered by NEXO tokens. Nexo aims to provide improved accessibility to loans without the bias and prejudice that traditional institutions are notorious for.

The platform doesn’t perform the standard credit score checks or other background checks, so users can easily receive loans in fiat money in a few simple, and non-invasive steps.

The process is relatively simple; users are required to deposit crypto tokens directly into their Nexo wallet, and following this, users receive a cash-based loan.

The Nexo wallet is one of many features available on the platform – the Nexo card is another feature that allows users to simply swipe or tap their card when purchasing.

Essentially, Nexo has an innovative system that is designed to secure liquidity and make it flexibly available to users. At the moment, Nexo supports more than 20 different cryptocurrency assets and plans to incorporate more in the future.

The Nexo token holders are prioritized by the protocol, and securely storing users’ digital assets, collateral, and other sensitive data is handled through secure smart contracts. The Nexo oracle ensures up-to-date and streamlined processing of all relevant data on the platform

Most loans are received within a day and are made via Swift, SEPA, or ACH. The user can receive loans directly to either their personal or business account.

What makes Nexo even more unique is that a user’s loan limit is always calculated according to the crypto assets they hold in their Nexo account. Users can receive additional credit if their crypto assets appreciate.

Nexo currently has more than $12 billion in assets under management, and more than 4 million users worldwide.

Individuals who are looking for a more in-depth overview of the project are encouraged to thoroughly read through the Nexo whitepaper.

What Is Nexo (NEXO) Used For?

Users can easily take out a cash-based loan after they deposit their crypto assets into their Nexo account. The loan will be sent via bank transfer directly to their account.

The Nexo oracle ensures that all factors and prerequisites are in place before an individual is approved for a loan. The Nexo Oracle algorithm uses a novel Loan-to-Value (LTV) ratio when establishing whether a client is credit-worthy. Thanks to this, the innovative system doesn’t need to perform any credit checks.

For example, an individual who has $500 worth of BTC (Bitcoin cash) in their account will qualify for a minimum loan amount of $500. The process for every individual is streamlined, and the Nexo oracle is tasked with making the necessary calculations.

Nexo positions itself as a platform that should be used by all types of people – those who are crypto savvy as well as those that aren’t. It aims to bridge the knowledge and accessibility gap that exists between the traditional financial world and the blockchain world.

Essentially, individuals who have Nexo accounts can benefit from crypto and unlock the true potential of their digital assets – especially if those assets appreciate while in their account.

Additionally, users can trade the NEXO token on various cryptocurrency exchanges. Many individuals swing or arbitrage trade cryptocurrencies because of their volatility. Experienced traders can capitalize on these price fluctuations.

Where To Buy Nexo (NEXO) Tokens

The best place to buy Nexo tokens is on the Nexo exchange.

NEXO tokens are frequently traded on most of the popular cryptocurrency exchanges. The unique proposition that Nexo offers individuals that are seeking a loan, is one of the reasons the project has garnered such a substantial amount of adoption recently.

Before purchasing NEXO tokens, users will need to deposit fiat money onto an exchange, sequentially, NEXO tokens will be credited to their relevant NEXO digital wallet on the exchange.

The crypto exchanges below are amongst the safest place where you can buy, sell and store NEXO tokens.

1. Gate.io
2. HTX
3. KuCoin
4. Binance
5. Crypto.com

Most individuals opt to keep their tokens in a wallet because keeping tokens on an exchange can be risky. You also don’t have access to your private keys if your tokens are kept on an exchange.

Although it’s not entirely necessary to transfer your tokens to a wallet, it is most definitely the safest option. Nexo tokens can be stored in multiple wallets, and some of the most preferred wallets include Trust Wallet and MetaMask.

Users who store their NEXO tokens in their NEXO account are eligible for various discounts, and it is advised that NEXO tokens be stored in a Nexo account as the discounts can be quite significant.

Alternatively, some individuals prefer to keep their tokens in a hardware wallet – this is recognized as the most secure way to store tokens.

About Nexo (NEXO)

How long has Nexo (NEXO) existed?

Nexo initially launched in 2018 after a very successful lead-up to its launch. The NEXO ICO raised $52,000,000 and a total of 525,000 NEXO tokens were sold. The ICO price was 1 NEXO = 0.1 USD.

Nexo was created by Kosta Kantchev, who is also the co-founder of Credissimo, which is the company that runs Nexo. Kantchev is a very reputable and influential figure in the FinTech industry – he has worked on multiple blockchain projects throughout his career.

What’s controversial about Nexo (NEXO)?

Research is crucial when it comes to blockchain and cryptocurrencies. Individuals should never invest in a crypto project before doing diligent research. There are sever projects which claim to solve an array of problems but a large portion of these projects aren’t credible.

Many projects spend an enormous amount on marketing, aiming to create hype and generate sales. Retail investors who aren’t crypto savvy often suffer from fear of missing out and buy into these projects without doing adequate research. This can unfortunately result in major losses. Individuals must do as much research as possible before investing.

Let’s take a look at the top controversy surrounding Nexo (NEXO):

• Competition – One of the most important factors to consider when researching Nexo is the project’s competitors. There has been a surge in the number of lending protocols entering the cryptocurrency space. Nexo does provide unique cash-backed loans but the project’s competitors are already giants in the industry.

  Many of these competitors have already managed to grow a substantial following and have attracted millions of users globally.

How many Nexo (NEXO) Tokens tokens are there?

At the time of writing, Nexo (NEXO) has a circulating supply of 560,000,011.00 NEXO (56% of the total supply).

The total supply of Nexo (NEXO) is 1,000,000,000.

The max supply of Nexo (NEXO) is 1,000,000,000.

Can Nexo (NEXO) be mined?

Nexo (NEXO) is not a mineable cryptocurrency. 

However, NEXO tokens can be staked on some platforms. Users that utilize DeFi products can often earn generous rewards.

What is the market cap of Nexo (NEXO)?

Nexo (NEXO) market cap = total amount of coins in circulation x current market price of NEXO.

Nexo (NEXO) Market Cap = 560,000,011.00 NEXO x $1,26 = $708 million (68th largest market cap).

NEXO has managed to claim a spot on the list of the top 100 cryptocurrencies by market capitalization. However, the NEXO price is currently trading at more than 3x below its November 2021 all-time high of $3,92.

The market cap fluctuates according to circulating supply and market price.

Biggest Competitors Of Nexo (NEXO)

Nexo has rapidly grown to become one of the most popular lending protocols on the market. However, there is significant competition in this sector.

Nexo’s biggest competitors are:

• AAVE
• MakerDAO
• Kava

What Are The Future Plans For Nexo (NEXO)

Nexo has announced its intent to keep creating value for users of the Nexo platform. The platform prioritizes flexibility and a unique dividends structure.

Currently, the platform lets users deposit more than 20 different cryptocurrencies, and the team is actively looking to accept even more cryptocurrencies.

Pros And Cons Of Nexo (NEXO)

Pros:

• Crypto to cash – The Nexo platform allows users to deposit crypto and receive a cash loan to their bank accounts – the loan is deposited directly into their bank account. Additionally, Nexo token holders receive discounts on loans they take out on the platform.
• Major Partnerships – The investors backing Nexo include the likes of Coinbase Ventures and a16z.
• Increasing crypto adoption – The innovative system that Nexo utilizes allows users that aren’t necessarily crypto savvy to still benefit in a lucrative way. The simple process bolsters the adoption of crypto among the general population.

Cons:

• Competitors – The sector in which Nexo positions itself is highly competitive. There are already several blockchain projects that serve millions of users, and provide very similar solutions to Nexo.