Nexo taps Sift to beef up security and smooth out user experience

Crypto lender Nexo has inked a strategic partnership with Sift, a provider of fraud management and prevention solutions, to redefine its approach to digital assets security.

This collaboration is set to upgrade Nexo’s security framework, ensuring a more secure, efficient, and user-friendly experience for its over 6 million customers.

With the integration of Sift’s Payment Protection and Account Defense, Nexo plans to leverage advanced AI and machine learning technologies to strengthen its defenses against various fraud threats. Payment Protection is set to improve the transaction process on Nexo’s platform, offering quicker approvals and better safeguarding of customer funds.

Meanwhile, Account Defense will help protect user accounts from unauthorized access, thereby enhancing Nexo’s operational efficiency and reducing financial losses linked to compromised accounts.

Additionally, Nexo will benefit from access to Sift’s Global Data Network, which includes many of the world’s leading crypto exchanges. This access will enable Nexo to identify and prevent fraud more effectively, reducing obstacles for legitimate users and building trust within the blockchain community.

“The synergistic alliance between Sift and Nexo demonstrates our unwavering commitment to a user-centric ethos, harmonized with robust security and anti-fraud protocols. By harnessing Sift’s cutting-edge technology and comprehensive platform for managing digital risk, Nexo is equipped to adeptly prevent fraud while creating a streamlined experience for our users,” said Savina Boncheva, Head of Compliance at Nexo.

“The crypto community is a magnet for organized fraud actors seeking financial gain,” said Armen Najarian, Chief Marketing Officer at Sift. “By joining Sift’s global data consortium and leveraging our AI-based risk decisioning platform, crypto exchanges like Nexo can greatly reduce fraud and create better experiences for legitimate users. We’re pleased to welcome Nexo to the Sift customer community and look forward to a successful and long-term partnership.”

The partnership comes at a time when the digital asset sector is grappling with cruical security concerns. Despite a reported 50% reduction in losses from security incidents in 2023, the industry still faced heavy losses, totaling around $1.7 billion.

This initiative also marks an important milestone in Nexo’s recent efforts to enhance its security measures. It comes shortly after the lender secured additional security certifications, receiving the ISO 27017 and ISO 27018, alongside its existing ISO 27001 standard.

Established in 2018, Nexo provides a range of crypto services, including trading, custody, loans, and interest-earning products.