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Nexo, the world’s first instant crypto-backed platform, is pleased to inform you that the Nexo Wallet’s deposit feature has been available since June 4th, 2018, marking yet another milestone completed on schedule.
The feature makes it possible for all our clients to stake their NEXO Dividend Tokens and is a significant step in our efforts to create the industry’s first institution-grade credit product. Clients still receive their dividends from their Nexo Tokens while keeping them in the Nexo Wallet. Nexo is making good progress towards expanding the deposit feature into a universal and seamless token solution, supporting other ERC-20 tokens, such as the BNB coin, starting July 1st, a move highly appreciated by industry leaders like Binance CEO CZ and increasing the range of possible collateral options on top of Nexo’s native token.
Depositing NEXO Tokens into the Nexo Wallet is important in several ways:
1) Dividends
Staking NEXO Тokens into the Nexo Wallet entitles token holders to dividend payments. Nexo distributes 30% of its profits as dividends to Nexo Token holders, offering them a passive income while enjoying the ownership of their assets.
2) Discounts when repaying loan interest using NEXO tokens
Nexo makes it possible for cryptocurrency holders to unlock the value of their assets without selling. Using them as collateral, they can obtain an instant crypto-backed loan. Thus, they get to keep ownership of their holdings and enjoy the upside of any value appreciation, while gaining access to liquid funds to meet their immediate financial needs.
As an added benefit, Nexo can help clients optimize their taxes since no sale occurs upon obtaining a loan against digital assets.
Loans can be repaid using bank transfer or crypto, including the crypto being used as collateral. When repaying interest with NEXO Tokens, clients receive a 50% discount on their payments.
Nexo does not require any minimum monthly payments, as interest is debited from the available loan limit. Once a repayment is received, the Nexo Oracle records the transaction on the blockchain and instantly updates the loan.
3) Discounts when using NEXO tokens as collateral for Instant Crypto-backed Loans
Clients can use their NEXO tokens as collateral to obtain instant financing. This option also gives them a 50% discount on interest payments compared to using BTC or ETH as collateral.
Botton line, utilizing NEXO Token for loans rewards clients in a similar manner to how 3MM, Berkshire Hathaway, IBM and many other players from the traditional financial world reward shareholders.
About the NEXO Tokens
The NEXO Token is the world’s first compliant, dividend-paying and asset-backed token. It boasts a number of significant financial and utility features. It pays out 30% of the company’s profits as dividends. The token is backed by the underlying assets of Nexo’s loan portfolio and can be used as collateral in the Nexo Wallet to obtain instant crypto-backed financing. The NEXO token also offers holders а discount whenever they use it to repay the interest on their loans.
It is worth noting that the above features set Nexo and the NEXO Token apart from the majority of the blockchain companies. More importantly, following the recent surge in Wall Street’s interest in the crypto industry, they are what make Nexo attractive to institutional players, whose presence in the space is expected to become increasingly pronounced.
