Nexo AG and its subsidiaries have initiated legal action against the Republic of Bulgaria, filing an International Centre for Settlement of Investment Disputes (ICSID) arbitration claim exceeding $3 billion. The claim alleges damages and lost opportunities resulting from what Nexo describes as wrongful and politically motivated actions by Bulgarian authorities.

The Dismissal of Charges Against Nexo's Leadership

Represented by the prestigious U.S. law firm Pillsbury Winthrop Shaw Pittman LLP, Nexo AG's claim centers on the aftermath of unjustified and oppressive criminal investigations. These investigations, initially launched by the Bulgarian Prosecutor General's Office in January 2023, were subsequently dismissed for lack of merit on December 21, 2023, clearing Nexo and its management, including Kosta Kantchev, Antoni Trenchev, Kalin Metodiev, and Trayan Nikolov.

“Despite the unjustified attacks by the Bulgarian authorities in January 2023 taking a significant toll on the entire Nexo group, we were able to continue business operations,” said Antoni Trenchev, co-founder of Nexo, “however, our growth path has been slowed down and opportunities lost or significantly delayed. I personally promised 10 months ago that we would explore all legal means available to secure financial compensation for Nexo."

"Now that the Bulgarian Prosecutor’s Office itself has finally exonerated us, the time is right for us to file our claim and receive reparations for the enormous reputational and financial damage suffered. By our actions we hope to show to those in power that actions have consequences and hopefully prevent such unnecessary value destruction going forward. We believe that this will be a vindication for Nexo but also for all good actors in the blockchain space that have found themselves under attack from multiple fronts in the past two years,” stated by Nexo.

Deborah Ruff, Pillsbury’s head of arbitration, expressed confidence in representing Nexo in what she called a "battle for justice." Matthew Oresman, Managing Partner of Pillsbury’s London Office, affirmed belief in the strength of Nexo's claim after a thorough examination of the case.