Nexo Files $3 Billion Arbitration Claim Against Bulgaria for Contentious Crypto Investigation

Nexo AG, a prominent platform for crypto lending, has taken a significant step by initiating a substantial arbitration claim surpassing $3 billion against the Government of Bulgaria. This action comes in the aftermath of an investigation that resulted in a raid on Nexo’s office in Bulgaria and charges against four individuals.
Will Nexo’s decision lead them to the justice they are seeking? Let’s delve into the details.
Taking Legal Measures
Nexo AG’s choice to file the arbitration claim is in response to an investigation that triggered a raid on its Bulgarian office, resulting in charges against four individuals. The claim has been formally submitted to the Secretariat of the International Centre for Settlement of Investment Disputes, which operates under the World Bank in Washington. Nexo is represented by the legal expertise of Pillsbury Winthrop Shaw Pittman LLP.
Digging Deeper Into Political Motivations
At the heart of Nexo’s claim is the assertion that the investigation, which ultimately saw Bulgaria dropping the charges in December due to a lack of evidence of any criminal wrongdoing, was driven by political motives. Initially, the inquiry led to the prosecution charging four Bulgarian nationals with engaging in organized crime activities, such as money laundering and unlicensed banking.
Nexo argues that the investigation had severe consequences on its business prospects and greatly damaged its brand reputation, despite the charges being dropped. Consequently, they are now seeking substantial compensation through the arbitration process.
Curiosity Piqued? More Charges Await
Stay tuned for further developments as the case unfolds following Nexo’s audacious move to file a $3 billion arbitration claim against the State of Bulgaria.
Tags: Crypto Regulations