How Nexo’s Zero-Interest Crypto Loans Let You Borrow Against Bitcoin and Ethereum

TLDR

• Nexo launched a zero-interest crypto lending product allowing Bitcoin and Ether holders to borrow against their assets through fixed-term loans
• The product previously available only through private channels facilitated over $140 million in borrowing during 2025
• Loans prevent liquidation before maturity and can be repaid using stablecoins or collateral at the end of the term
• DeFi lending protocols grew from $48.15 billion in total value locked on Jan. 1, 2025, to a peak of $91.98 billion by Oct. 7, 2025
• Nexo plans to reenter the US market after settling with the SEC for $45 million in early 2023

Nexo, a crypto financial services company, has introduced a new zero-interest lending product for Bitcoin and Ethereum holders. The service allows users to borrow against their crypto assets without paying interest or fees.

The product, named Zero-interest Credit, offers fixed-term loans with repayment conditions set at the start. Borrowers can choose their loan size and duration upfront. The loans include protection against liquidation before the term ends.

Nexo has been operating since 2018 and provides services across 150 jurisdictions. The company offers crypto-backed loans, trading, and savings products to its users.

The zero-interest lending option was previously only available through Nexo’s private and over-the-counter channels. During 2025, this private version of the product processed more than $140 million in loans. The company has now made the product available to all customers.

When a loan term ends, borrowers can settle using either stablecoins or their collateral. They also have the option to renew under new terms. The loan structure defines a repayment price range with minimum and maximum price points.

Nexo withdrew from the US market in late 2022. The company settled a case with the Securities and Exchange Commission for $45 million in early 2023. In April 2025, Nexo announced plans to return to the US market.

The crypto lending sector has changed since 2022. That year saw the collapse of major lenders like Celsius and BlockFi during the FTX crisis. These failures contributed to market instability.

By 2025, centralized lenders adopted more conservative approaches. Companies including Nexo, Ledn, Xapo Bank, and Coinbase expanded their lending services using fully collateralized structures. This meant loans were backed by sufficient assets to cover potential losses.

Decentralized finance protocols also experienced growth in 2025. According to DefiLlama data, DeFi lending products started the year with about $48.15 billion in total value locked. This figure represents the total value of assets deposited in these protocols.

The DeFi lending market reached a peak of $91.98 billion in total value locked on Oct. 7, 2025. After a liquidation event on Oct. 10, the market declined but stabilized in November. The current total value locked stands at around $66 billion.

Aave leads the DeFi lending market with more than $22 billion in outstanding loans. The protocol holds over $55 billion in deposited assets. Morpho ranks second with roughly $3.6 billion in outstanding loans backed by about $10 billion in supplied liquidity.

Galaxy Research ranked Nexo as the number two centralized finance lender by total loan volume in the second and third quarters of 2025. The company currently manages over $11 billion in assets.

The Zero-interest Credit product allows borrowers to receive funds in either USDC or USDT stablecoins. Users can customize their loan terms based on their needs. The one-tap renewal feature lets borrowers extend their loans into new terms without unlocking collateral.

Nexo currently manages over $11 billion in assets and was ranked the number two centralized finance lender by Galaxy Research for Q2 and Q3 2025.

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