Nexo, a cryptocurrency lender or financier, announced today that it has signed an agreement sheet with Singapore-based crypto exchange Vauld describing intentions to purchase the assets of the insolvent company.
Nexo, located in London, has a 60-day investigative time relating to its potential purchase under the terms of the contract.
An agreement sheet is a document that specifies the terms and conditions of a possible financial contract. Both Nexo and Vauld may choose to conclude or abandon the contract at the end of the experimental phase.
Nexo To Purchase 100% Of Vauld Assets
Officially, Nexo claimed that Nexo intends to purchase up to 100% of Vauld as well as restructure its upcoming activities in order to enhance its stronger footprint in Asia if the acquisition is approved.
Nexo’s statement follows its proposal to troubled manufacturer Celsius in mid-June, where the company had offered Celsius to purchase its insolvent holdings. However, the firm has not yet disclosed the outcome of the offer.
Nexo states that they are the only company that is showing interest in Vauld. The company’s co-founder, Antoni Trenchev quotes that there is a need to examine what’s there in their records and this should be done within the said experimental time.
Nexo, the firm’s native coin, is currently trading at $0.5959, down by 75% from $2.34 after TerrauDS’s collapse in May.
As a result, Nexo is currently indicating a possible merger with Vauld, which declared on Monday that it has been experiencing financial difficulties, criticizing market trends and the problems of business associates. Vauld stopped transactions, inflow, and outflow on its platform, claiming $198 million in client withdrawals.
Nexo, which was founded in 2018, provides users with crypto lending and borrowing solutions such as interest accounts and crypto-backed loans. On the other hand, even Vauld offers lending, borrowing and trading on its platform, but the platform is currently on hold.
It’s just not Vauld or Celsius, many crypto lenders, including Voyager, Finblox, CoinFLEX, and CoinLoan, have also been faced by a financial crunch and have halted operations in order to prevent massive withdrawals from their networks.