IOSCO Presents Comprehensive Crypto Guidelines for Regulation
The world of cryptocurrency regulation is about to get a major shakeup. The International Organisation of Securities Commissions (IOSCO), an association of organisations that regulate the world’s securities and futures markets, has unveiled comprehensive crypto guidelines aimed at establishing a more consistent and effective regulatory landscape.
IOSCO’s proposed recommendations for cryptoasset regulation could help bring about more uniform regulatory frameworks for crypto markets across jurisdictions. This move signifies a pivotal moment in the maturation of the crypto industry, providing much-needed clarity and structure.
The Recommendations apply IOSCO’s standard for securities markets regulation to address key issues and risks identified in cryptoasset markets. This means established principles used for traditional securities are being adapted to the unique challenges presented by cryptoassets, ensuring investor protection and market stability.
IOSCO’s latest recommendations mark a significant advancement in the regulation of the crypto market. By providing a framework for addressing the unique risks associated with crypto, IOSCO is paving the way for greater institutional adoption and mainstream acceptance.
IOSCO is issuing these Recommendations to help IOSCO members apply relevant existing IOSCO objectives, principles, standards, recommendations and good practices. This aims to avoid regulatory arbitrage and ensure a level playing field for crypto businesses operating across different regions.
IOSCO said that the recommended policies address concerns related to market integrity and investor protection arising from cryptoasset activities. The policy focuses on mitigating risks related to fraud, manipulation, and lack of transparency, ultimately fostering greater trust in the crypto ecosystem.
These new guidelines from IOSCO represent a significant step towards a more regulated and secure crypto market, benefiting both investors and the long-term sustainability of the industry.