World’s second largest stock exchange says it can stop cryptocurrency market manipulation
A couple of days back, in a statement Nasdaq announced that it could be the possible saviour for the cryptocurrency space as it claims to be well equipped to lead the fight against frauds and market manipulation that has been plaguing the cryptocurrency market. In addition to that, the second largest stock exchange of the world also claims that some major exchange platforms are already adopting its market surveillance technology.
Citing the statement given by the U.S. stock exchange behemoth, a report published by Bloomberg revealed Nasdaq’s aim of providing solutions to arguably two of the major issues faced in the crypto space, fraud and market manipulation.
According to Nasdaq, it stated that it has tons of experience in dealing with the intricacies of the assets trading market.
I paragraph of the report published on behalf of Nasdaq reads:
“Regulators, brokers, and exchanges have surveillance teams that monitor activity constantly and advanced technologies to help capture and analyze abusive behaviours including pump-and-dump schemes, insider trading, wash trading as well as spoofing and layering.”
Virtual currency critics do not leave any occasion to point out flaws in the crypto space and they constantly cite the lack of robust regulations in the industry as an incentive for all possible illegal trading practices. A major stock trading exchange coming to the aid of this sector would undoubtedly get a lot of credibility to it.
In an interview with Bloomberg, Tony Sio, the head of exchange and regulatory surveillance at the exchange operator, stated:
“Currently we are getting approached every week or two. Although, We won’t work with all of these firms since many of them are quite early stage or not reputable yet.”
Since the very first month of 2018, Nasdaq has publicly made several announcements right from tentative to more concrete involvement in the emerging virtual currency space. Speaking on the prospects of cryptocurrencies, CEO, Adena Friedman has expressed bullish on various occasions while constantly reiterating the need for more robust regulations.
In the past few months, several reports have emerged that show NASDAQ’s intentions of launching its own cryptocurrency exchange platform, although for any such plan to bear fruition it would have to wait for a proper regulatory framework.