As the site Crypto Slate, November 1, one of the largest stock exchanges in the world Nasdaq has announced its intention to help cryptocore to get rid of the fraud with tools it had developed for the traditional exchanges.
The purpose of the project, as explained by Nasdaq, is to strengthen supervision and regulation, with the aim of cryptocurrency to protect investors from potential threats. According to company representatives, stock exchanges, like her, have already established certain rules that prevent fraudulent schemes to sow chaos in the cryptocurrency field:
Regulators, brokers and exchanges have a team of observers that constantly monitor trading activity, and apply advanced technologies to establish and analyze illegal activity such as pump and dump, insider trading, fictitious transactions, pyramid schemes, and spoofing.
All of these criminal practices are common in cryptosphere, and contributed to an atmosphere of distrust and suspicion, which led to the fact that the new York attorney General’s office has released a report devoted to such practices in the market of virtual assets, and the group of regulators at the state level, organized the operation Cryptosweep designed to clear the market.
Nasdaq has indicated that the government of Abu Dhabi and Singapore have successfully managed to implement adequate cryptocurrency legislation, and encouraged to unify the “fragmented” approach to American regulation of the cryptocurrency market. The company also believes that the laws on the verification of identity of clients and anti-money laundering is not sufficient because “traders, sophisticated in technology, provides a great number of individual transactions, and these opaque transactions are never examined for compliance with these laws.”
Further, the statement of the exchange said that the markets highly volatile – in part, because the main driving force of the flow of orders are retail investors, which are easily deprived of the spirit of geopolitical events and the statements of the authorities on possible regulatory measures.
According to Bloomberg, some cryptomeria already traded in the Nasdaq to get a license to use its system of surveillance of the Nasdaq market SMARTS. Nasdaq claims that its software is able to analyze the market and intentions of market participants by means of machine-learning techniques. This tool is already using Gemini.
Nasdaq works closely with the new York regulators recently she was hired for the position of technical Director of the company, the former head of the new York stock exchange (NYSE) by Robert Cornish. Tony SIO, head of Nasdaq, is monitoring the exchanges and regulators, says that “once a week or two” in the company turning cryptoform, however, many requests for cooperation have been rejected, because these structures “are not sufficiently reliable reputation”.
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