After exiting the U.S. in late 2022 amid regulatory pressure and industry-wide instability, Nexo’s return signals renewed confidence in the American crypto lending market. This move is being viewed as a calculated reentry backed by compliance infrastructure rather than rapid expansion tactics.
Why Nexo Previously Left the U.S. Market
In 2022, the U.S. crypto lending sector faced significant regulatory scrutiny following the collapse of several high-profile lending platforms. During that period, regulators increased enforcement actions against interest-bearing crypto products, classifying many of them as unregistered securities.
The fallout was massive. The global crypto market capitalization dropped from nearly $3 trillion in late 2021 to under $1 trillion by mid-2022, wiping out roughly $2 trillion in value. Crypto lending platforms saw liquidity pressures, declining user trust, and tightening capital conditions.
Against that backdrop, Nexo announced its departure from the U.S., citing regulatory uncertainty and inconsistent state-by-state compliance requirements.
Strategic Return Through a Compliance-Focused Model
Now in 2026, the crypto environment looks different. The total crypto market cap has rebounded to approximately $2.2 trillion, reflecting renewed investor participation and institutional adoption. Bitcoin and Ethereum have stabilized compared to their extreme 2022 volatility, helping restore lending demand.
Rather than relaunching independently, Nexo is leveraging Bakkt’s U.S.-regulated custody and trading infrastructure. This partnership model allows Nexo to operate within an established compliance framework while offering digital asset-backed financial products to American clients.
Industry analysts note that nearly 68% of institutional crypto investors now prioritize regulatory compliance as their top decision-making factor, compared to just 41% in 2021. That shift in investor sentiment is driving companies to adopt safer, partnership-based expansion strategies.
Services Expected in the U.S. Rollout
Nexo’s U.S. reentry will reportedly focus on:
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Crypto-backed credit lines
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Institutional-grade custody integration
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Liquidity solutions without requiring asset liquidation
Crypto-backed loans have regained traction as digital assets recover in price. According to industry data, the global crypto lending market is projected to surpass $35 billion in outstanding loans by the end of 2026, compared to an estimated $18 billion at the end of 2023.
Demand is being fueled by high-net-worth individuals and institutional holders seeking liquidity without selling long-term crypto positions. In the U.S., digital asset ownership now stands at roughly 21% of adults, representing more than 55 million people. That expanding user base presents significant opportunity for compliant lending services.
Market Impact on U.S. Crypto Lending Competition
The U.S. crypto lending market has consolidated since 2022. Several major lenders either declared bankruptcy or dramatically scaled back operations. As a result, fewer platforms currently dominate the space.
Nexo’s reentry introduces renewed competition at a time when institutional digital asset adoption is accelerating. U.S. spot Bitcoin exchange-traded products have collectively recorded billions in net inflows since approval, reflecting mainstream financial integration.
Analysts project that institutional crypto allocation could rise from an estimated 3% of alternative asset portfolios in 2024 to nearly 7% by 2027. Increased allocation typically correlates with higher demand for structured lending and collateralized borrowing solutions.
Regulatory Environment: More Clarity, Less Chaos
One of the most critical differences between 2022 and 2026 is regulatory dialogue. While federal-level crypto regulation remains a developing framework, clearer guidance around custody requirements and lending disclosures has reduced ambiguity.
Approximately 72% of surveyed fintech executives in 2025 reported improved confidence in navigating U.S. crypto compliance compared to three years earlier. This improvement has opened doors for international firms to reconsider U.S. expansion strategies.
By working within a regulated custody framework, Nexo appears focused on long-term operational stability rather than rapid retail growth.
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