pledge
Nexo
Flexible crypto credit line with public “from 1.9%” pricing and loyalty-dependent terms.
Run your numbers
What happens if BTC drops.
The single most important question on a Bitcoin loan. With Nexo, liquidation is a managed process. If your loan-to-value rises toward the liquidation threshold below, Nexo works through margin calls before any collateral is sold.
At Nexo's 50% opening LTV, BTC would have to fall 40% before a position opened at that LTV reaches the 83% liquidation threshold.
Cure window: No published grace window.
What Nexo publishes: Revolving credit line. Per Nexo LTV policy, margin calls begin around 70%+ LTV and liquidation occurs at 83.33% LTV. The prior "83% margin call / 24h grace / 90% liquidation" framing was incorrect — 83.33% is the liquidation point and no fixed grace window is published. Collateral and reuse terms are account- and jurisdiction-dependent. https://nexo.com/blog/a-stellar-ltv-policy
The terms, translated.
With Nexo, the “contract” is the loan agreement and the platform’s risk parameters. We've pulled the key terms from Nexo's own data and translated them into plain English.
How Nexo compares to its closest cousins.
The org, the founder, the governance.
Nexo’s public borrow page now advertises a Credit Line from 1.9% per year with BTC at 50% LTV, $50-$2M public flow, flexible repayment, and no credit checks. Exact borrower pricing still depends on loyalty tier, collateral mix, jurisdiction, and account-level terms. We found historical Moore/TrustReserve reserve-attestation materials, but did not reverify a current public reserve dashboard in this audit.
The 8-factor breakdown.
Custodial. Scores 5/10 (moderate) on the custody axis. Non-custodial designs score highest because no third party can move collateral; custodial designs lose points proportional to operator discretion.
Policy: partial. Scores 5/10 (moderate). "Strict" / "no-rehypothecation" policies score highest because collateral cannot be lent out; "permitted" policies lose points for exposure to counterparty failure on the re-pledged BTC.
Scores 5/10 (moderate). Programmatic on-chain liquidation at a fixed LTV scores highest (predictable, no operator discretion); discretionary or off-chain liquidation processes lose points proportional to opacity and timing risk.
Regulatory status: registered. Scores 6/10 (moderate). US/EU-regulated lenders with explicit licensing score highest; offshore or DAO-governed entities lose points because there's less recourse if something goes wrong.
No public reserves reporting. Scores 4/10 (weak). Without auditable reserves disclosure, depositors have no independent confirmation that the assets exist and are unencumbered.
Scores 5/10 (moderate). Lenders that publish operating reports, smart-contract code, and live rate/LTV parameters score highest; those that bury terms in PDFs or change rates without notification lose points.
8+ years operating since 2018. Scores 8/10 (solid). Older operations with surviving stress events (March 2020, Nov 2022, etc.) score highest; younger or untested operations lose points proportional to how many full cycles they've operated through.
Scores 4/10 (weak). Loan agreements with explicit liquidation order, segregated-account language, and clear borrower recourse score highest; ambiguous default terms lose points.
Same score, different shape.
Each spoke is one of the eight factors behind Nexo's 5.3/10, plotted 0–10 and ordered by methodology weight. The filled shape is the lender's safety profile. Two lenders can share an overall score and still have opposite shapes — a balanced octagon is a very different risk than a spike on one axis with thin edges everywhere else. Nexo is strongest on track record (8/10) and thinnest on loss protection (4/10).
Questions readers actually ask about Nexo.
Is Nexo safe for Bitcoin-backed loans?
Nexo has a Pledge safety score of 5.3/10. Its current borrow page says it has operated since 2018 with $7B+ AUM, but account-level collateral terms, historical SEC regulatory scrutiny in the US, and reserve-reporting evidence we could not currently reverify are concerns.
What is Nexo's real Bitcoin loan rate?
Nexo advertises a public from-rate, but exact BTC borrowing cost depends on account status, loyalty tier, collateral mix, and jurisdiction. Pledge shows 1.9% as a sourced public from-rate / quote-dependent range, not as a guaranteed offer.
Does Nexo rehypothecate collateral?
Nexo collateral-use terms should be confirmed at the account and agreement level before borrowing. Pledge no longer treats a simple public “partial rehypothecation” label as launch-locked without a current primary source, but the lack of simple public collateral-isolation language remains a risk factor.
Which US states does Nexo exclude?
Nexo is excluded in our tracked US dataset: NY and RI.
The receipts.
Every figure on Nexo traces to a primary document. These are the ones we read — open any of them.
- Nexo borrow page ↗Partial
Credit Line from 1.9% per year, BTC 50% LTV, $50 to $2M public flow, supported collateral, flexible repayment, operating since 2018, and $7B+ AUM
Moore Johannesburg / TrustReserve real-time reserves attestation and 1:1 backing language
- Nexo NEXO-token loan page ↗Partial
Token-backed borrowing mechanics and loyalty-dependent pricing language