ND to receive portion of multimillion-dollar cryptocurrency settlement

BISMARCK, N.D. (KFYR) - North Dakota will be receiving a portion of a multimillion-dollar settlement reached among many states and territories with the cryptocurrency platform Nexo Capital Inc., a Cayman Islands corporation formed in 2018.

The North Dakota Securities Department on Monday announced it entered into a settlement agreement with Nexo after an investigation revealed it sold unregistered stocks and bonds.

They claimed certain investors could obtain returns as high as 36% but did not disclose critical information to their investors to fully understand their potential risks.

A working group negotiated a $22.5 million multi-state settlement with Nexo on behalf of 53 United States jurisdictions.

Nexo will be ordered to pay a fine of nearly half a million dollars to states that are part of the settlement, including North Dakota.