On Wednesday (June 30), the Cardano Community finally got the news that it had impatiently been waiting for: Cardano ($ADA) has been integrated with the financial services of crypto startup Nexo, which is one of the largest providers of crypto-backed loans.
Nexo lets you:
- buy crypto using fiat currency (USD, EUR, or GBP)
- earn interest on your fiat or crypto holdings
- borrow fiat using crypto as collateral
Nexo started offering “the world’s first instant crypto-backed loans” in December 2017 (with the loans provided with the help of Malta-based Credissimo, “a leading European FinTech Group founded in 2007”).
According to Nexo’s blog post, this new integration means being able to:
- buy $ADA on the Nexo exchange (trading pairs available: ADA/BTC ADA/ETH ADA/BNB ADA/USDT АDA/USDC ADA/HUSD ADA/USD ADA/EUR ADA/GBP)
- earn up to 8% annual interest on $ADA held in the Nexo wallet (with the interest paid out daily)
- borrow fiat (nearly instantly) against $ADA (at rates starting from 6.9% APR and a loan-to-value ratio allowance of 30%)
Per Nexo’s press release, Antoni Trenchev, co-founder and managing partner of Nexo, had this to say:
Blockchain organizations like Nexo and Cardano have a lot of potential to give each other a serious leg up in digital finance – and it thrills me to see that happening. Nexo’s business creates added utility for ADA, reducing selling pressure, boosting its value and creating an influx of users, including people who might just be starting out in crypto. Reciprocally, Cardano broadens our total addressable market and expands existing clients’ options when investing funds via our platform.
And Romain Pellerin, CTO of IOHK, stated:
Interoperability is essential to further mainstream adoption of blockchain and cryptocurrency – and our partnership with Nexo is another step towards that journey. This partnership will not only allow ADA holders to manage their portfolio but will also let users purchase ADA directly with fiat or with crypto on the Nexo exchange. Bringing Nexo into our growing ecosystem will give the Cardano community even more options and fluidity for ADA. Working together with Nexo to make this process user-friendly for those who are new to crypto will encourage wider adoption of Cardano.
The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.