In the same week that the Lithuanian government raided Nexo's office and filed charges against four people in connection with money laundering, the login password lender filed a lawsuit in the Cayman Islands.

In a document dated January 12, Nexo filed a lawsuit against the Cayman Islands Monetary Authority (CIMA), mainly because CIMA refused to register as a virtual asset service provider (VASP) in such an island country. The data encryption lender ordered the court to overturn the financial regulator's decision because it was "appropriate" to provide data encryption services to Cayman Islands residents.

According to court documents, Nexo filed an application with CIMA in January 2021, providing more information at the request of regulators. However, the US Monetary Authority issued a response to the application last October because the Nexo did not disclose "some of the laws, regulations and regulatory issues mentioned by the mainstream media". He rejected the application in December last year.

Nexo declared: "the Management Office has violated its constitutional oversight duty by refusing to determine to it reasons that are understandable, satisfactory and sufficiently detailed."

Nexo cited a US court incident as saying that CIMA attached "excessive importance" to the regulatory body that took enforcement actions by the login password lender. State regulators in the United States also issued termination and stop orders against Nexo in 2022, but Nexo made it clear in the lawsuit that this does not mean it acted improperly:

[Nexo] has been working hard to cooperate with each other in the investigation and analysis of state and federal government regulators, and has actively maintained a dialogue with their respective regulators [.] At the level of laws and regulations applicable to digital currency, there are some ambiguous places in foreign countries, so the supervision and inspection itself is not equal to any wrong behavior. "

The credit company announced in December that it planned to phase out its business process in the US "in the coming months" because of a lack of regulatory clarity.