Closure of Nexo's Money Laundering Probe in Bulgaria: Insufficient Evidence

The Bulgarian Prosecutor's Office has officially declared the absence of any evidence related to criminal activities, tax offenses, or computer fraud concerning the individuals involved. The Bulgarian News Agency reported the closure of the investigation into alleged money laundering offenses by crypto lender Nexo on Friday.

Initiated in January 2023, the investigation had raised allegations of tax offenses, unlicensed banking, and computer fraud against Nexo. Notable executives subject to scrutiny were Kosta Kanchev, Antoni Trenchev, Kalin Metodiev, and Trayan Nikolov.

The year 2023 witnessed heightened scrutiny within the cryptocurrency landscape, spurred by the collapse of the FTX exchange and the rapid decline of other crypto firms in the latter part of 2022.

Bulgarian authorities stressed the lack of evidence supporting criminal activities, tax offenses, or computer fraud against the accused. Additionally, the Prosecutors determined that Nexo's offerings did not qualify as financial instruments.

Antoni Trechev, co-founder of Nexo, addressed the dropped charges in an email to Bitsday, highlighting the political nature of the attack on Nexo, asserting that it should not have taken place. Trechev views this development as a significant stride in clearing the names of Nexo and its executives, considering it a vindication for all reputable entities in the cryptocurrency industry.

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