Crypto Lender Nexo sues Bulgaria for $3 billion in damages

A $3 billion arbitration lawsuit has been made against Bulgaria by cryptocurrency lender Nexo, which claims the nation has ruined its reputation and closed off business prospects.

December 2023 saw a money laundering investigation into the company by Bulgaria’s prosecutor’s office, which allows the buying and selling of cryptocurrency.

Claiming that the investigation was politically driven, Nexo and its subsidiaries refer to the probes as “oppressive criminal investigations.” Despite the fact that the nation exonerated Nexo throughout its inquiry, the firm feels the case hampered its opportunity to go public in the US.

The International Centre for Settlement of Investment Disputes (ICSID) of the World Bank, which will mediate the disagreement between the two organisations, has received the company’s allegations. On January 18, the case was filed, and Bulgaria’s finance ministry has received a request for arbitration.

A specialized inter-departmental committee will review the request and propose the next steps.