Nexo seeks $3B in damages after Bulgaria investigation

Bulgaria ended its investigation into Nexo back in December


rafapress/Shutterstock modified by Blockworks


Nexo filed an arbitration claim against Bulgaria for $3 billion. 

The crypto trading platform is seeking payment for both material and reputational damages caused by the Bulgarian investigation announced last year. Nexo, in a press release, also alleged that some “planned business activities” were “abandoned” due to the investigation. 

One such venture was a possible funding round and potential IPO on a US stock exchange. 

Nexo, however, phased out its US operations back in 2022. At the time, it said that it had engaged in “more than 18 months of good-faith dialogue with US state and federal regulators” but it was unable to assure customers that the regulators were “focused on their best interests.”

“Our growth path has been slowed down and opportunities lost or significantly delayed. I personally promised 10 months ago that we would explore all legal means available to secure financial compensation for Nexo,” Antoni Trenchev, co-founder of Nexo, said.

The arbitration claim was submitted at the World Bank’s International Center for Settlement of Investment Disputes in Washington, DC. 

In December, Bulgaria announced that it ended the investigation into Nexo. The investigation — launched in January 2023 — looked into alleged financial crimes. Nexo’s offices were raided in an attempt to uncover various alleged crimes including tax evasion and fraud. 

When the prosecutor’s office announced that it was dropping the investigation, it noted that Bulgaria “lacks a corresponding legal regime for the activity related to services with crypto assets,” and “the Nexo group companies are not subject to permit, registration or licensing regimes.”

“The dropping of all charges made against Nexo and its executives by the Bulgarian prosecutor’s office, with their confirmation that there were no crimes, unequivocally shows that the whole attack on Nexo was political and should not have happened in the first place,” Trenchev told Blockworks at the time.

Don’t miss the next big story – join our free daily newsletter.


Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

Mon - Wed, March 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience: Attend expert-led panel discussions and fireside chats Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts.

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Research report - cover graphics (1).jpg


In this report, we dive into crypto private market data to gather insights on where the future of the industry is headed. Despite a notable downturn in private raises, capital continues to infuse promising projects that aim to transform payments, banking, consumer experiences, community, and more, with 2023 being the fourth-largest year for crypto venture capital.


Revolut said that the standalone crypto exchange is currently “invite only”


The stock price jump comes after Coinbase reported ending its seven-quarter run of net losses during the fourth quarter


BUZZ holds shares of Coinbase, Robinhood and MicroStrategy


Opinion: Even though I didn’t pay for my “Diamond Hands” burger with BTC, don’t let that fool you into thinking that crypto’s development is futile


The results mark “a major positive inflection point,” one analyst says, as the exchange carries net income momentum into a crypto rally


While the slate of 10 US spot bitcoin funds have tallied $4.6 billion of net inflows thus far, half of the field is lagging the leaders