The Nexo directors announced on August 3
that the platform would distribute $2.4 million worth of dividend to qualifying investors.
The information which was released via a Medium post added that the Nexo token has gained appreciable values since the first two quarters of 2019 leading to three times increase in value.
This is a direct consequence of the increase in the demand of the platform’s credit and loan service even as the coin market experienced a spike in volume and capitalization due to the current bull market.
The team used the opportunity to remind investors of its dividend regimen which is aimed at reduction of volatility of the token and rewarding the investors for their implicit confidence in holding the token long term.
It is a common token economics principle that lower token velocity leads to higher stability and value of the coin, so the team rewards investors based on the volume of NEXO token held. This essentially means that the dividend is distributed based on the percentage of NEXO in the investor’s wallet and how long such tokens have been held there.According to the release
, all tokens that would be considered must be in the investor’s wallet by August 5, 2019, 15:00 UTC for the owners to reap the full benefit of the dividend distribution.
The platform known for its dominance of the crypto lending business stated that it is confident that the value of its token would continue to rise. This is especially so in the light of the fact that it is introducing the Nexo card to its instant crypto credit line.
There’s also a high yield interest product meant for investors and the quest for acquisition of banking capabilities to serve the crypto industry.
These are just some of the many new features that the platform would add to its primary lending service.
For more visit: https://nexo.io