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Documentation Index

Fetch the complete documentation index at: https://docs.nexio.xyz/llms.txt

Use this file to discover all available pages before exploring further.

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1. What is Nexio in plain English?

Nexio is a lending platform that matches BTC lenders with institutional borrowers through fixed-term credit facilities. In practice, Nexio:
  • Connects institutional lenders and borrowers around defined BTC credit facilities.
  • Coordinates onboarding, documentation, funding, repayment, and reporting.
  • Structures loans with fixed commercial terms and legal agreements.
  • Uses custody and controlled operations to manage funding, repayment, and reporting.
  • Gives lenders visibility into borrower-specific exposure rather than pooling everything together.
The simplest way to think about it is BTC-denominated institutional private credit.

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2. Who can borrow and who can lend?

Nexio is designed for institutional participants.
  • Borrowers: Trading firms, market makers, hedge funds, treasuries, and other approved institutions seeking BTC financing.
  • Lenders: Institutions, funds, family offices, and BTC treasuries looking for fixed-term BTC yield.
Borrowers are not anonymous, and lender exposure is tied to identified counterparties and defined loan terms.

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3. Are Nexio loans collateralized?

Nexio is built for undercollateralized and uncollateralized lending. That means lender protection comes primarily from:
  • Borrower selection
  • Covenant packages
  • Legal agreements
  • Monitoring and recovery processes
Some facilities may still include collateral, but it may not generally be provided.

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4. What happens if a borrower defaults?

A default occurs when a borrower fails to meet its payment or other contractual obligations. If that happens, Nexio follows the remedies defined in the relevant legal agreements and facility documents. Depending on the structure, that can include:
  • Enforcement of covenants and default provisions
  • Workout or restructuring discussions
  • Claims against pledged assets, if any exist
  • Legal recovery against the borrower and related obligors
Losses, if any, are borne according to each lender’s exposure to that facility.

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5. What happens to a lender’s BTC when deposited?

When a lender deposits BTC:
  1. It is allocated to a specific borrower facility under Nexio’s operating and custody framework. The lender’s position is recorded within that borrower vault together with the applicable commercial terms.
  2. If the borrower draws on the facility, that BTC is lent out under the agreed fixed-term loan.
  3. If the borrower has not yet drawn the full facility, or once prior loans have been repaid, BTC can remain in the borrower vault pending withdrawal or commitment to a subsequent loan, depending on the lender’s election and the facility terms.

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6. Once BTC is lent out and paid back, will it be lent out again next time?

Potentially, yes. Once a loan is repaid, BTC that remains in the same borrower vault can be committed to a new fixed-term loan for that borrower, typically at updated terms for the next facility.

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7. Does BTC collect compound interest?

Not automatically. BTC only compounds if interest or repaid principal remains in the borrower vault and is then committed to a subsequent loan, allowing returns to be earned again on a larger balance.