Nexo Faces Cease and Desist Lawsuit from California Authorities: What You Need to Know

Nexo Group, a prominent crypto lender, is facing a cease and desist order from California authorities. The California Department of Financial Protection (DFPI) issued the order on 26 de sept. de 2025, alleging that Nexo was offering unregistered securities in the form of yield-bearing accounts.

California DFPI Alleges Unregistered Securities Offerings

On Septem, California filed a desist and refrain order against Nexo Capital Inc. and its parent and collective business group, Nexo Inc. and Nexo Group. The core of the issue revolves around Nexo's Earned Interest Product accounts. According to the 26 de sept. de 2025 cease-and-desist document, these accounts are classified as securities and were offered and sold without prior qualification, in violation of California law.

What Led to the Cease and Desist Order?

California’s DFPI issued a cease and desist order against Nexo as a result of its interest account. The Department of Financial Protection and Innovation (DFPI) stated on 26 de sept. de 2025 that Nexo solicited States investors to tender to Nexo certain crypto assets, which Nexo deposited in interest-yielding accounts. Nexo then used these assets in various ways to generate income for its own business, prompting the DFPI's intervention. The order effectively prohibits Nexo from continuing to offer these specific interest-bearing accounts to California residents.

27 de sept. de 2025 marks a significant date in the unfolding situation as details continue to emerge regarding the full extent of the allegations and Nexo's response.

Impact and Next Steps

This cease and desist lawsuit has significant implications for Nexo's operations in California and potentially beyond. The legal proceedings will likely involve scrutiny of Nexo's business model and the classification of its yield-bearing accounts. Stay tuned for updates as this story develops.