09-04-2022 icon

Nexo Increases Buybacks by $50Million Amid Current Market Lows

By Lucy Adegbe

Cryptocurrency loaning protocol Nexo has committed extra funds to its buyback agenda, allowing the firm a more tactful capacity to acquire back its native crypto assets for better interest output or calculated ventures in the long run. 

On August 30th, the protocol announced that the central management board had agreed to pump an extra $50 million into buybacks, indicating a 50% increase of the $100 million acquisition agenda introduced last November.  

The agreement highlights the prudent re-investment of a $50 million rate of the protocol’s native crypto coin in the open market. 

Nexo native crypto token has attained a current market cap of $563.6 million with a one-day exchange magnitude of $46.7 million as illustrated on the company’s website chart. 

According to the company’s justification, the buyback boost for the reacquisition agenda will signify a “solid liquidity position” alongside a readiness to support the community.

This endeavor is to be implemented for six months, with all of the rebought token coins put through a one-year token lock-up duration, the firm explained. 

Once the duration elapsed, the rebought token coins could be utilized to settle day-to-day interest expenses through the protocol’s token or other investment procedures through “token mergers,” it added. 

Nexo has been eager to portray its economic stability even with the storms of the current market condition. It sought advice from global investment bank Citigroup on the critical measures involved in acquiring crumbling digital firms.