Open Letter to the U.S. Securities and Exchange Commission (SEC) - Case 2025-000001

Subject: Urgent Need for Oversight Action on Nexo AG (Switzerland) and Protection of U.S. Retirement-Age Investors

To the Commissioners and Enforcement Division of the SEC:

I am a retirement-age U.S. citizen who lost $3 million in life savings through a product advertised as a secure APR credit line—offered by Nexo AG in Switzerland—that in fact operated as a margin account with automatic liquidation triggers.

In January 2023, the SEC took enforcement action against Nexo Capital (Cayman Islands) for its unregistered Earn Interest Product (EIP). That action was essential, but it did not address the margin-based “Crypto Credit Line”, which caused my losses and those of others.

This letter is my formal request for the SEC to:

1. Expand enforcement to include Nexo AG (Switzerland)

Nexo AG actively marketed and contracted with U.S. investors like myself, using misleading terms such as “APR” to describe a high-risk, liquidation-triggered product. When asked for account documentation, Nexo AG denied any customer relationship and redirected me to its Cayman entity—despite Swiss bank transfer records, app branding, and legal filings tying my account to the Zug-based company.

2. Enforce the SEC–FINMA Memorandum of Understanding (MOU)

As a harmed investor, I have exhausted Swiss legal remedies and made multiple submissions to FINMA, including forensic evidence of misrepresentation. Yet FINMA has refused to act, despite its statutory mandate to correct investor deception and protect the integrity of Swiss markets. I urge the SEC to invoke the bilateral enforcement MOU to:

• Request account records directly from Nexo AG
• Coordinate a joint investigation into cross-border harm
• Clarify regulatory expectations for elderly U.S. investors exposed to jurisdictional evasion

3. Ensure accountability for marketing deception

The term “APR” is not compatible with forced liquidation. Nexo’s own marketing used bank-like language and Swiss trust branding, while simultaneously enforcing margin liquidation without notice or recourse. This violates U.S. consumer expectations and may constitute misleading advertising under both U.S. and Swiss law.

A whistleblower complaint has been filed with the SEC regarding Nexo’s cross-border activities and treatment of U.S. investors.”

This is a matter of systemic risk, not just individual loss

If Nexo AG can operate under the veil of Swiss credibility, yet avoid enforcement by both FINMA and the SEC, it sets a dangerous precedent for offshore platforms targeting U.S. investors—particularly retirement-age victims like myself, with no realistic means to recover what was lost.

I respectfully ask the SEC to act, not just to protect me, but to signal that jurisdictional evasion and deceptive marketing will not be tolerated—even when it crosses borders.