Banging on the door

There are many things that can be bad for a company's image, and being raided by the police is up there with some of the worst.

• The Bulgarian offices of crypto lender Nexo have been raided by local authorities amid an investigation into claims that the group is engaged in money laundering and tax crime. The Bulgarian branch of the company handles administrative functions such as payroll.
• Nexo’s reported to have generated more than $94bn over the previous 5 years, which hasn’t gone unnoticed by regulatory bodies. They’ve already been accused of offering its users unregistered securities in the form of its yield-earning accounts.
• Nexo co-founder, Antoni Trenchev, said that he thought the accusations were “absurd”, and that the company is extremely stringent with its anti money laundering measures. The raid also comes just four months after NEXO was issued with a cease and desist order in 8 US states, so it’s probably feeling the heat right now.