On-chain data shows that addresses associated with cryptocurrency lender Nexo have recorded exfiltration following news of a financial crimes investigation by the Bulgarian government.
Cryptocurrency intelligence platform Arkham Intelligence Dashboard has shown that cryptocurrency lenders have confirmed an outflow of around $9 million since the news broke.
A breakdown of transactions showed that Nexo address 0xFfe accounted for the majority of withdrawals.
According to the data, withdrawals were dominated by trades from retail investors who mostly deposited on centralized exchanges such as Binance, Kraken.
On the other hand, Nexo’s real-time authentication by Armanino Indicated As of January 12, customer debt was $2.42 billion (133,263 bitcoins).
FUD spreads to Nexo
Some members of the crypto community believe Nexo could be the next victim of the crypto epidemic that has swept several other companies.
MetaCartel Ventures DAO partner Adam Cochran said: Said Nexo will be “the last of the shady centralized stakers”. He added that the company had told him its operations were “very clean and audited.”
CEO Ram Alwalia Lumida Wells, Added what he had “Nexo nonsense since June” Laura Shin podcast.
meanwhile some other urged Lender clients can withdraw their assets from the platform.
Data from CryptoSlate shows that Nexo’s native token dropped 1.45% to $.0.71 at the time of writing.
Nexo co-founder and managing partner Antoni Trenchev described the news of the investigation as “ridiculous.”