TL;DR

NEXO Token (NEXO) is the governance token of the Nexo cryptocurrency exchange and lending platform that is compatible with ERC-20 and BEP-2. Users who have NEXO in their accounts on the Nexo platform get many incentives, including higher yields on their digital assets, free crypto rewards on card purchases, and discounted loan rates on crypto-backed credit facilities.

Introduction

Nexo started in 2018 as a crypto lending platform and is considered a pioneer of crypto credit facilities. Today, the Nexo platform is a comprehensive crypto financial ecosystem that allows users to buy, sell, trade, and borrow with their cryptocurrencies. The latest addition to their suite of features is the Nexo Card, which is the world's first crypto-backed card.

What is the Nexo ecosystem?

Nexo has more than four million clients worldwide. The numbers increased drastically in 2020 with the release of their Earn product. The new product allows platform users to earn interest on their crypto assets. This move attracted many new crypto enthusiasts who were not looking for loans, but wanted to use their crypto to generate passive income.

The Nexo ecosystem is an all-in-one solution for all things crypto. Newbie users can buy their first crypto with a few clicks and start earning compound daily interest automatically. Experienced users can borrow cash to use for everyday expenses or to invest in more crypto.

Instant Crypto Credit Line

Nexo allows clients to open an Instant Crypto Credit Line and borrow cash or stablecoins by leveraging their cryptocurrency holdings as collateral. Users can borrow from $50 to $2 million with instant approval, no administration fees, and no monthly repayment, while the funds become available within 24 hours. Loans can be repaid in part or in full in over 40 fiat currencies, stablecoins (USDT or USDC), or a combination of crypto and fiat currencies.

To open an Instant Crypto Credit Line, users simply need to use their cryptocurrency holdings as collateral for repayment. This will allow them to borrow at a maximum APR of 13.9% depending on their Loyalty level and the ratio between NEXO token holdings and other cryptos in their portfolio. If digital assets serving as collateral begin to experience worsening market conditions and the loan-to-value ratio increases, Nexo has implemented an algorithm to help clients stay in control of their Instant Crypto Credit Line and manage it easily. This includes margin calls, automatic loan transfers to maintain an acceptable loan-to-value ratio, and automatic repayment.

NFT Lending Desk

Users can also borrow stablecoins, ETH, and other digital currencies by using Bored Ape NFTs and CryptoPunks as collateral. Just like Nexo's credit facility, this instant liquidity does not require users to sell digital assets. Users can borrow up to 20% of the value of their NFT and spend or reinvest the loan. As part of Nexo's OTC service, users have a dedicated account manager to help them along the way.

Nexo Exchange

Nexo has also developed their cryptocurrency exchange over the years. This exchange houses popular coins such as BTC and ETH, Layer 1 tokens such as BNB, AVAX, as well as NFT and metaverse tokens such as APE and MANA. Nexo Exchange users can buy crypto with a credit or debit card and instantly swap 300+ crypto pairs, including 140 rare pairs. The exchange also has a simplified 1.25x to 3.00x leverage option. This leverage is referred to as Nexo Booster and allows users to buy more of their favorite cryptocurrency by funding transactions using crypto-backed loans.

Nexo Card

In April 2022, Nexo officially launched their crypto credit card. This card allows users to spend the value of their crypto without actually selling it. The way it works is by automatically borrowing fiat on daily purchases while using crypto as collateral for repayment.

Nexo Card can be used anywhere Mastercard is accepted. Cardholders can use Bitcoin, Ethereum, or 40 other cryptocurrencies as collateral to back the credit provided. This guarantee provides fiat against their crypto on every purchase. They can also earn rewards on every purchase or ATM withdrawal that will be paid in Bitcoin (up to 0.5% back) or NEXO tokens (up to 2% back). Nexo does not require minimum monthly repayment and does not charge monthly, annual or inactivity fees.

What is NEXO Token?

In 2018, Nexo issued and distributed the world's first token that is regulatory compliant, dividend-yielding, and backed by an asset that has utility features. Since NEXO's evolution from dividends to daily interest, the token has continued to provide utility to Nexo users in the form of higher interest rates, lower lending rates, and free withdrawals on their platform. The exact benefits are determined by the tier-based Loyalty Program. This level depends on the percentage of NEXO Token holdings held in one's portfolio. For example, if 10% of a Nexo user's holdings in his portfolio were NEXO, then he would be at the Platinum level and thus qualify for interest rates on most assets of up to 17% and five free crypto withdrawals per month. As of May 2022, the maximum interest rate on the platform is 36% for AXS.

Over the past two years, as part of NEXO's tokenomic overhaul, the company has been buying back its native tokens from the open market. This Buyback program aims to increase token liquidity thereby reducing price volatility. There is a limited supply of NEXO Tokens with a maximum limit of 525 million NEXO Tokens.

How to buy NEXO on Binance?

You can buy NEXO Token (NEXO) on cryptocurrency exchanges, such as Binance.

1. Log in to your Binance account, then click [Trade]. Choose classic or advanced trading mode to get started.

2. Type “NEXO” in the search bar to view available trading pairs. We will use NEXO/BUSD as an example.

3. Open the [Spot] box, then enter the number of NEXOs you want to buy. In this example, we will use a Market order. Click [Buy NEXO] to confirm the order, then the purchased NEXO will be added to your Spot Wallet.

How to use Nexo?

Creating an account on Nexo is easy and takes about 3 minutes. To get started, click the button in the top right corner of www.nexo.io.

This action will redirect you to the platform. You will need to enter your email address and password. After verification, you have to fill in the account details and go through a short KYC.

Closing

The Nexo ecosystem has become increasingly popular with its simple, all-in-one solutions. Their earning products are automated and the process of taking out crypto-backed loans is intuitive. By owning NEXO Token, users can get more benefits from their platform and with the release of Nexo Card, more people will join the Nexo community.