Nexo, one of the regulated institutions for crypto-assets, has reportedly acquired a stake in Texture Capital Holdings Corp., which is the parent firm of Financial Industry Regulatory Authority (FINRA) member and SEC-registered broker-dealer Texture Capital.
As mentioned in an update shared with CI, this investment is part of Texture Capital’s seed funding round.
Established in 2019, Texture Capital provides a regulated, blockchain or distributed ledger tech (DLT)-powered marketplace that “caters to accredited and institutional investors, while also enhancing private capital liquidity.”
The update also mentioned that the firm has a “unique competitive advantage being one of a handful of broker-dealers licensed for issuance and trading of Digital Asset Securities in addition to being registered in all 50 US states as well as several territories.”
The deal is reportedly a key part of an international strategy to “expand Nexo’s institutional service offering through an extensive range of partners specialized in advanced investment banking operations for digital assets such as Texture Capital’s Alternative Trading System (ATS) and licensure.”
The partnership is expected to lead to opportunities for synergies “with Nexo’s premier product suite while Texture Capital gains the potential to enhance its offerings with advanced DeFi capabilities through Nexo’s turnkey solutions for managing crypto assets and extensive blockchain expertise.”
Following various ventures, this key milestone in “the evolution of Nexo’s investment arm broadens the lender’s compliance capabilities by opening up potential for the broker-dealer licensing required to offer its interest-bearing accounts, exchange products, and professional-orientated trading services to a wider range of US clients,” the announcement added.
Tatiana Metodieva, CFA, Head of Corporate Finance and Investments at Nexo, stated:
“Nexo invests actively across geographies and segments to expand its strategic presence, technological solutions framework, and regulatory readiness in the digital asset ecosystem. Texture’s growth strategy, service orientation, and compliance foresight align well with Nexo’s vision for the US market. We expect this partnership to further strengthen Nexo’s commitment to state-of-the-art execution and service to its community.”
Richard Johnson, CEO and Founder of Texture Capital, remarked:
“We are delighted to welcome Nexo as an investor in our seed round. Nexo has built an impressive, global crypto business, and we look forward to partnering with them as Texture continues to build on our vision to revolutionize capital markets leveraging blockchain technology and DeFi.”
As previously reported, Nexo is a regulated digital assets institution. The firm’s goal is to “maximize the value and utility of cryptocurrencies by offering tax-efficient Instant Crypto Credit Lines, a high-yield Earn Crypto Interest suite, an instant Exchange service, and sophisticated trading and OTC capabilities, while providing the top-tier custodial insurance and military-grade security of the Nexo Wallet.”
Nexo has handled $50+ billion for 2,500,000+ users across 200+ jurisdictions.