NYDFS Tightens Digital Asset Listing Standards: New Rules and Investor Protection
Date: 2023-09-18 Author: Dima Zakharov Categories: BUSINESS, IN WORLD
NYDFS Tightens Cryptocurrency Listing Rules: Investor Protection and Market Safety
The New York State Department of Financial Services (NYDFS) has announced its plans to enhance standards for cryptocurrency exchanges regarding the listing and delisting of digital assets. This move aims to establish more reliable rules for exchanges that will safeguard investor interests and enhance overall market safety.
According to NYDFS Superintendent Adrienne Harris, the update to the standards is prompted by identified deficiencies in the operations of some organizations operating in the digital asset space. The new rules require cryptocurrency firms registered in the state to develop their own listing and token exclusion policies, as well as establish norms for managing the coin placement process, asset risk assessment, and monitoring procedures.
The document presented by NYDFS is currently in the public discussion phase until October 20th. The regulator emphasizes the necessity of ensuring the security and reliability of the digital asset market while protecting the interests of investors. These changes in listing standards come amid the growing significance of cryptocurrencies in the global economy and underscore the cryptocurrency market's willingness to adhere to stricter regulatory oversight.
Customary Rules and Commitments: Cryptocurrency firms subject to NYDFS's new standards
The New York State Department of Financial Services (NYDFS) has announced its intention to tighten standards for the listing and delisting of digital assets on cryptocurrency exchanges. These new measures aim to establish reliable rules, safeguarding investor interests and increasing market safety. Cryptocurrency organizations registered in the state must develop their own listing and asset exclusion policies, as well as implement monitoring and risk assessment procedures, emphasizing the importance of ensuring the security and reliability of the cryptocurrency market.
These new NYDFS standards are designed to support the reliability and transparency of the digital asset market, protecting investor interests. The introduction of customized standards for listing, risk assessment, and monitoring will enable cryptocurrency firms to independently ensure the safety and reliability of trading platforms, while regulatory authorities will actively monitor compliance with these standards and intervene when necessary. The scheduled discussion period until October 20th highlights the commitment to developing balanced and effective cryptocurrency sector regulations in New York.
