NASDAQ Can Curb Crypto Market Manipulation
November 2, 2018 1:47 pm
NASDAQ, the stock exchange giant from the United States has said that it can effectively lead the fight against market manipulation and fraud that the cryptocurrency market has been facing for years. A few exchange platforms have already started adopting Nasdaq’s market surveillance technology.
As per Bloomberg, the U.S. stock exchange strongly believes that it can be the one to solve the most pressing issues that the cryptocurrencies are facing, namely market manipulation and fraud. As per a report that was published yesterday, Nasdaq talked about its experience in dealing with the problems and technicalities in the assets trading markets.
“Regulators, brokers, and exchanges have surveillance teams that monitor activity constantly and advanced technologies to help capture and analyze abusive behaviors including pump-and-dump schemes, insider trading, wash trading as well as spoofing and layering.”
Several cryptocurrency critics have pointed out the need for robust industry regulations to curb illegal trading practices; The Justice Department in the United States along with the Commodity Futures Trading Commission (CFTC) have started investigating the ongoing allegations of price manipulation in Bitcoin trading.
In mid-2018, it was reported by Bitcoinist that Gemini, SBI Virtual Currencies and three other platforms were already employing Nasdaq’s Smarts technology. As the cryptocurrency trading space develops, the demand for such technologies continues to grow.
Tony Sio, head of exchange and regulatory surveillance at the Exchange Operator said
“We’re now getting approached every week or two. We won’t work with all of these firms though since a lot of them are quite early stage and not reputable yet.”
Since the beginning of 2018, Nasdaq went from thinking of entering the crypto space to become an emerging force in the industry. Adena Friedman, CEO, Nasdaq has expressed her bullish sentiments on the future prospects of cryptocurrencies while also highlighting the need for robust regulations.
This news was first published on Bitcoinist.