Key Takeaways
Nexo has collaborated with two German companies, Tangany and DLT Finance, to ensure full compliance with the EU’s Markets in Crypto-Assets Regulation (MiCAR). Eleonor Genova emphasized that MiCAR establishes a clear standard for Nexo and its 10 million clients worldwide. The firm anticipates that by 2026, European cryptocurrency users will gravitate toward a few regulated platforms within the EEA.
Uninterrupted Service Across European Markets
Digital asset management platform Nexo has revised its operational framework in the European Economic Area (EEA) to align with the EU’s Markets in Crypto-Assets Regulation (MiCAR). Rather than obtaining a direct MiCAR license, Nexo has opted to distribute its European client services through two German partners that are regulated by BaFin, Germany’s Federal Financial Supervisory Authority. According to an official announcement, these partners are Tangany and DLT Finance. Tangany, licensed under MiCAR, offers custody solutions, ensuring that digital assets are stored separately for security. DLT Finance, which holds MiCAR licensing and is authorized under MiFID II, provides brokerage and execution support for both digital assets and financial instruments. These collaborations enable Nexo to deliver services that meet European regulatory standards. Following a trial phase, all Nexo services within the EEA continue to operate without interruptions or service delays for users.
While some in the industry have criticized the EU’s regulatory framework as overly stringent, Nexo has welcomed MiCAR as a means to boost institutional confidence and foster long-term stability. Yasen Yankov, Nexo’s chief product officer, remarked, “MiCAR represents the most significant regulatory framework for digital assets in Europe, and Nexo has been preparing extensively. In selecting DLT Finance and Tangany, our criterion was clear: our partners must be top-tier—well-regulated, technically advanced, and aligned with our commitment to client protection.”
Industry Consolidation and Platform Trust
As the European market adapts to this regulatory framework, Nexo foresees a change in user behavior, with clients likely to favor platforms that emphasize verified compliance and asset security. Nexo’s infrastructure partners underscored the importance of their collaboration in achieving this milestone. Martin Kreitmair, CEO of Tangany, stated, “This partnership signals the potential of what can be achieved in the post-MiCAR environment with the right collaborators and institutional-grade custody solutions. Our combined efforts, despite the project’s complexity, create a template for other institutions navigating the European market.”
Alan Kennedy, senior partnerships manager at DLT Finance, added, “The most successful digital asset platforms rely on infrastructure that operates seamlessly, allowing clients to focus on their needs. Our role is to provide Nexo with the necessary financial market infrastructure and execution capabilities to ensure a smooth user experience across various products.” As one of the largest centralized crypto lenders globally, Nexo’s compliance strategy reinforces its position in Europe, enabling it to influence the future of regulated digital asset wealth management.
