Nexo, the native token of the crypto lending platform of the same name, has launched its Ethereum Smart Staking product. The token went up in value by 5% almost immediately.
Earn staking rewards
Nexo’s Smart Staking product lets users trade Ethereum (ETH) for Nexo Staked ETH (NETH). This allows them to earn staking rewards of between 4% and 12% APY.
With the NEXO token, users get several benefits, including better lending and borrowing rates. The launch of Smart Staking was announced via a Twitter message.
Difficult period for crypto lending services
Earlier it became clear that many American users of Nexo would no longer be able to access their ‘Earn Interest’ product. According to Nexo itself, this would be because the US refuses to offer a path to enable blockchain companies.
Accordingly, Nexo’s Earn Interest product has been discontinued in the following U.S. states: California, Indiana, Maryland, Oklahoma, Kentucky, South Carolina, Washington, and Wisconsin. While US customers will no longer be able to sign up for the product, access to accounts and recordings will remain unaffected.
The past few months have been very difficult for several crypto lending services. For example, a number of Nexo’s competitors, including BlockFi, Celsius and Voyager, all recently went bankrupt. This after the collapse of FTX and Terra during the year. It is currently unknown whether more crypto lending services will go bankrupt in the short term.