Vauld eaten by the giant Nexo – In recent weeks, several CeFi companies have been in turmoil. Thus, in turn, Celsius, BlockFi, Voyager or more recently Vauld have faced significant liquidity problems. For its part, the Nexo service does not seem to be affected by the decline in cryptocurrencies. So much so that it even plans to take over its competitor Vauld.
Cryptocurrency lenders in turmoil
We were talking about it earlier this week in the Journal du Coin, the cryptocurrency exchange and lending platform, Vauld announced be violently affected by market conditions. In fact, he had no choice but to suspend withdrawals from his platform.
After reducing its workforce by 30%, the company said it was considering a restructuring plan. To carry out this plan, he hired several financial and legal advisors.
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Nexo is considering an acquisition of Vauld
The day after this announcement, the lender Link made a startling statement to our colleagues at The Block. Thereby, Nexo revealed his desire to acquire the Vauld company.
That said, Nexo has already made this acquisition.
According to information shared with The Block, Nexo would like to acquire 100% of the company Vaud. However, the agreements signed between the two companies concede Exclusive exploration period of 60 daysallowing Nexo to perform due diligence on the status of Vauld’s accounts.
“We have to see what exactly is in their books and it will take time. But since we have the exclusivity of the exploration period, we are the only ones looking at them right now. “
At the end of this period, Nexo will decide on the Vauld case. Therefore, you have two choices:
- Renovate the vault, if it still has assets that are staking or engaged for long periods. In this case, Nexo would provide liquidity to support these positions;
- Refinance Vauld, if it has lost its assets in liquidation. In this case, Nexo could potentially save the cash.
This decision will depend on Vauld’s actual financial status. For his part, the company did not want to reveal the hole in its finances. However, according to a source close to The Block, the debt is less than $ 100 million.
A strategic acquisition
This acquisition of Vauld by Nexo will be eminently strategic. First, this would allow Nexo to prove that it is one of the few CeFi players not to have suffered the bear market. In the same vein, Nexo had offered to buy Celsius in mid-June.
In a second phase, the acquisition of Vauld would allow Nexo to access the Indian and Southeast Asian markets, where Vauld is widely established. As the CEO of Nexo said:
“[Le rachat de Vauld nous donnerait]huge traction in India and Southeast Asia which are important markets for us. “
At the same time, another behemoth continues to buy troubled companies. Thus, the FTX exchange platform came to the aid of the lender BlockFi in the amount of 400 million dollars.
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