Nexo is working with banking giant Citigroup (C) as the crypto lender pursues a consolidation of other lenders hit by the recent market downturn, according to an announcement shared with CoinDesk. The company also later shared the information in a blog post.
The announcement comes weeks after rival lending platform Celsius halted withdrawals, spurring speculation of insolvency.
“We have been approached by multiple Wall Street banks and decided to officially explore the opportunities for acquisition to help stabilize our nascent industry,” said Antoni Trenchev, co-founder and Managing Partner of Nexo.
The announcement states that Nexo is planning a mass consolidation of the crypto industry through mergers and acquisitions (М&А).
On June 13, Nexo revealed that it was planning a buyout of Celsius, including assets “mostly or fully of collateralized loan receivables secured by corresponding collateral assets.”
Last week, Celsius appointed Citigroup to advise it on possible financing solutions following its decision to freeze withdrawals and transfers, according to a report by The Block.
Nexo’s native token (NEXO), is currently trading at $0.6855, a 3.74% slump over the past 24-hours according to CoinGecko.
Citigroup (C) shares are down 1.92% at $47.06 in Wednesday’s trading session.