Crypto lender Nexo has created a new product designed for long-term holders of Bitcoin and Ether, aimed at providing them with liquidity without having to part with their crypto assets.
This new product, which Nexo calls Zero-Interest Credit, permits users to take out loans against BTC and ETH at an agreed fixed-rate term. Unlike typical crypto collateral loans that involve ongoing rate adjustments and margin calls, these loans are designed to run to maturity without any interim liquidation exposure.
In this case, borrowers preemptively determine the loan amount and the loan term, and the loan is paid back in one lump sum at the end of the term. Depending on market conditions at the maturity date, repayment can be made in a stablecoin or the collateral that was posted. Nexo has said that this structure provides borrowers a clear expectation regarding the repayment, and they do not have to worry about a forced liquidation prior to the loan’s maturity.
Nexo previously limited this structured lending model to its private and over-the-counter clients, but the zero-interest lending model is now being applied to this loan that was previously structured in a credit format. According to Nexo, that private and over-the-counter model had $140 million in borrowings in 2025.
Opening their product to more users, Nexo is proposing a lending model with features of fixed terms and fully collateralized positions. In addition, borrowers have the option to renew their loans after the term ends, though this is subject to new conditions.
Nexo is a crypto financial services platform that launched in 2018 and has over 150 jurisdictions for lending, trading, and saving. In April 2025, the company announced it would be coming back to the United States market after it previously exited this market in late 2022. This exit was due to a regulatory concern that was later settled in early 2023 for $45 million with the U.S. Securities and Exchange Commission.
The crypto lending market in 2025 appears to be more stable.
The launch also largely illustrates the changes in the crypto lending market which transpired after the failures of the crypto lenders in the 2022 market crash. Major lenders like BlockFi and Celsius were criticized for being a part of the systemic collapse of the market correlating with FTX.
In 2025, many of the centralized lenders like Nexo, Ledn, Xapo Bank, and Coinbase adopted new lending policies using a fully collateralized model. At the same time, the lending protocols in decentralized finance also showed significant growth.
According to DefilLama, DeFi lending total value locked (TVL) rose from around $48.15 billion to $91.98 billion between the beginning of 2025 and the first week of October 2025. The market cooled after the October 10 liquidation event, but TVL activity bottomed and stabilized in November at around $66 billion.
Aave is still the largest DeFi lending protocol, eliminating more than $22 billion in loans against more than $55 billion in deposit collateral. Morpho is second, with roughly $3.6 billion in outstanding loans against about $10 billion in supplied liquidity.
As crypto lending continues to mature, products like Nexo’s model of zero-interest crypto lending showcase how lenders are restructuring credit to be more collateral predictable, disciplined, and transparent with borrowers.
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