Exchange News

Nasdaq fields a solution to the ailing cryptocurrency market

Nasdaq, the 2nd largest stock exchange in the world, has indicated that it has a solution to the ailing cryptocurrency market.

Nasdaq has observed that:

“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.”

To address these problems, the stock exchange has created tools that will ensure trading of securities, currencies, and other markets, including virtual currency markets, are free from manipulation.

To this effect, Nasdaq has already provided such cutting-edge technologies to some cryptocurrency exchanges that are keen of a free and fair trading environment.

According to Tony Sio, Head of Exchange and Regulator Surveillance, Nasdaq, although cryptocurrency exchange flock to get a pie of Nasdaq’s technology, “we won’t work with all of these firms though since a lot of them are quite early stage or not reputable yet.”

The move by Nasdaq is meant to stump out the fear that financial regulators around the world have regarding the unregulated nature of the cryptocurrency market.

In the recent past, the issues of manipulation in the cryptocurrency market became so rampant that the United States Justice Department started the investigations into these allegations.

Gemini, a cryptocurrency exchange founded by the Winklevoss brothers is among reputable virtual currency exchanges that have so far benefited from Nasdaq’s market-surveillance technology.

Nasdaq has, in the past, indicated that it will double as both a stock exchange and a cryptocurrency exchange. In April, its CEO, Adena Friedman said that “Nasdaq would consider becoming a crypto exchange over time. If we look at it and say ‘it’s time, people are ready for a more regulated market,’ for something that provides a fair experience for investors.”

Even with Nasdaq recommending a solution to the ailing cryptocurrency market, do you think the unregulated nature of the cryptocurrency market can be totally free of such ailments?

Let us know your thoughts in the comments section below.


Philip is an experienced blogger keen on staying updated with trends and news surrounding the blockchain and Bitcoin space. With several years of freelance experience in various industries, Philip brings his knowledge and experience into the crypto space.

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