Crypto lending platform Nexo informed Vauld’s creditors through an open letter that its deal with rival Vauld is still on.
Vauld was searching for restructuring options and filed for creditor protection. As noted in an open letter, Nexo tabled a revised plan of acquisition on December 2nd, 2022. The company worked on the transaction which “faced daily challenges, such as receiving slow and incomprehensive financial and legal due diligence information.”
Vauld noted in a private message on Twitter: “We were previously exploring a potential acquisition by Nexo as part of the proposed restructuring plan.To provide a very brief summary, our discussions with Nexo have unfortunately not come to fruition.”
As per media reports, Nexo announced on December 5th, that the financial services and products would be completely halted in the United States. Furthermore, ‘Earn Interest’ products will no longer be seen in eight states, including California, Washington, Oklahoma, New York, Vermont, Maryland, Kentucky — which has now filed lawsuits on crypto lender.
Nexo ceased operations and restrict new signups in the region. The company said: “Our decision comes after more than 18 months of good-faith dialogue with US state and federal regulators which has come to a dead end.”
No solution was made between the U.S. and the exchange as per media reports.