[Nexo Fined $500,000 by California Regulators for 'High-Risk Loans'] According to Cointelegraph, crypto lending company Nexo Capital will pay a $500,000 fine to the California Department of Financial Protection and Innovation. Regulators accused the company of issuing thousands of loans to California residents without holding a valid license and failing to properly assess borrowers' repayment ability. Regulators stated that between July 2018 and November 2022, Nexo issued at least 5,456 consumer and business loans to California residents without a valid lending license. The company often failed to evaluate borrowers' repayment ability, existing debts, or credit history before issuing loans. Nexo is required to transfer all California customers' funds to its U.S. affiliate entity, Nexo Financial LLC, which holds a California lending license, within 150 days.