- In a transformative deal for the industry, Nexo has acquired a stake in the bank holding company that owns Summit National Bank – a US federally chartered bank regulated by the Office of the Comptroller of the Currency.
- Summit National Bank, a subsidiary of Hulett Bancorp (DBA Mode Eleven), is reinventing itself as a modern digital FinTech bank, and with Nexo as its preferred digital assets partner, the bank’s offering attunes to the needs of the 21st-century client.
- The deal further boosts Nexo’s US presence, enabling the digital asset specialist’s clients to open bank accounts with Summit National Bank, as well as enhanced lending and card products, utilizing its decades-long track record of excellence in regulatory compliance and the existing infrastructure.
September 27, 2022 – Nexo, the world’s leading regulated institution for digital assets with $4 billion in assets under management, announces the acquisition of a stake in Hulett Bancorp (DBA Mode Eleven) and its federally chartered Summit National Bank, in an industry-changing transaction that expands Nexo’s footprint in the US even further and will greatly enhance both institutions’ respective offerings.
The deal will allow Nexo to offer its US retail and institutional clients services that include bank accounts, asset-backed loans, card programs, as well as escrow and custodial solutions through Summit National Bank. Nexo customers can expect the same uncompromising quality of service while retaining and enhancing appropriate legal safeguards utilizing Summit National Bank’s federal-level lending and payments infrastructure.
As part of Mode Eleven, Summit National Bank is reimagining itself and its offering to serve customers’ needs as a modern digital FinTech bank. The bank will benefit from Nexo’s unrivaled expertise in FinTech and gain access to a sophisticated product suite for digital assets, creating a bridge between Web3 and traditional finance and boosting both companies’ capabilities and addressable markets. Nexo is Summit National Bank’s preferred digital asset partner for the push toward innovation.
Founded as Hulett National Bank in 1984, the leadership of Mode Eleven and Summit National Bank bring a strong record of compliance with US regulatory requirements as the bank expands into new lines of business.
“This investment marks another landmark in Nexo’s relentless drive to better serve our US customers in compliance with the constantly evolving regulatory landscape,’’ said Kalin Metodiev, CFA, co-founder and managing partner of Nexo and recently appointed as Summit National Bank board member. “We care deeply about our customers and are thrilled that this development will grant them access to some of the most innovative products at the intersection of traditional finance and blockchain technology.”
“We are delighted to welcome Nexo aboard,’’ said Forrest Gilman, Chairman of the Board, and President of the US bank. “We are excited to be partnering with Nexo as we combine Summit National Bank's traditional strengths and values with our vision for the bank’s future. Kalin’s active engagement on the Board strengthens our work on the transformation of the bank into a fully-fledged cutting-edge FinTech bank with access to new clients.” Gilman’s more than 30 years of work in traditional financial services – including positions at UBS, Deutsche Bank, and Citibank make him an ideal steward for Summit Bank’s next chapter.
Having pioneered the concept of real-time attestation of reserves to show that assets exceed liabilities at all times, Nexo has maintained a growth course despite times of general contraction. Nexo’s long-term plans include the expansion of its global commercial banking capabilities, both through the partnership with Summit National Bank and by securing additional banking licenses on a global scale. With over 50 licenses and registrations across the globe, the firm serves more than 5 million customers in over 200 jurisdictions, having processed more than $100 billion since its inception. A partner of household names such as Mastercard and Fidelity, Nexo safeguards client assets with unequaled attention to security, including top-tier custodial insurance and military-grade protection through the Nexo Wallet and a professional trading platform, Nexo Pro, that recently brought aggregated liquidity and advanced trading capabilities to the retail for the first time.
About Mode Eleven / Summit National Bank
Hulett Bancorp (DBA Mode Eleven) combines the trust and reach of its nationally chartered bank subsidiary, Summit National Bank, and the power of a modern technology platform to support a wide array of financial services in the new Banking-as-a-Service paradigm. Visit us at modeeleven.com to learn more.
Nexo is the world’s leading regulated digital assets institution with over $4 billion in assets under management. The company’s mission is to maximize the value and utility of digital assets by offering a comprehensive suite of products that include advanced trading solutions for retail and institutional clients (Nexo Pro and Nexo Prime), aggregation of liquidity from leading venues, tax-efficient asset-backed credit lines, a high-yield Earn Interest product, all accompanied by top-tier custodial insurance and military-grade security of the Nexo Platform and Wallet. In early 2022, the enterprise launched its investment arm Nexo Ventures, which now boasts over 60 portfolio companies. Nexo has processed $100+ billion for 5,000,000+ users across more than 200 jurisdictions.
Visit nexo.io to learn more.
Media Contact for Mode Eleven/Summit National Bank
Alan Gross, GSM Marketing
Media Contact for Nexo
The Nexo PR Team