- The Commission has published a set of recommendations for other regulators
- Feedback on the document is open until July 31
The International Organization of Securities Commissions (IOSCO) published its rulebook on Tuesday, May 23, regarding regulation of the digital asset sector.
The organization is asking interested parties to submit their views by July 31. The document sets out 18 key recommendations that cover the following issues:
- common standards for regulatory policy;
- risk management, investor protection measures;
- international cooperation between regulators;
- custodial regulations;
- segregation of corporate and personal customer funds;
- disclosure;
- Market abuse and price manipulation.
After approval, the set of recommendations will serve as a “framework” for individual regulators to shape policy.
Depending on the format the document ends up in, the overall nature of the subsequent supervisory measures will also depend.
“As the G7 finance ministers’ communiqué reminded us, it is time to end regulatory uncertainty.
Our consultation document received unanimous support from the IOSCO Board and is the result of an intensive period of analysis of the sector, its potential and associated risks.
This is a turning point in eliminating weaknesses in the protection of investors and the market as a whole” – Chairman of the organization Jean-Paul Servais.
Reminder, G7 members are pushing for the widespread implementation of the “Travel Rule” from FATF.
This will allow authorities from different jurisdictions to exchange information and eliminate “gray zones” in the legal field.