Various cryptocurrency exchanges and advocacy groups in different countries have come together to form a coalition aimed at fighting market manipulation.
In an announcement on Monday, market watchdog firm Solidus Labs and exchanges including Bitstamp, Coinbase, BitMEX and CrossTower said they would launch the Crypto Market Integrity Coalition, or CMIC, and ask all other companies involved in the crypto space to follow their example. According to the CMIC, members must commit to fostering “a fair market in digital assets to combat abuse and market manipulation and promote public and regulatory confidence” in cryptocurrencies.
The group’s 17 founding members include the US-based cryptocurrency advocacy group, the Digital Chamber of Commerce, the UK-based self-regulatory trade association CryptoUK, and the international think tank Global Digital Finance. . Additionally, crypto data provider CryptoCompare, Anchorage Digital, the first crypto firm to receive a letter from the national banking regulator in the United States, and Circle, the company behind the USDC stablecoin, have joined the coalition.
CMIC’s promise includes a commitment to “maintain fair and orderly digital asset markets and prevent market abuse.” The group said it planned to eventually share its own research on crypto, as well as establish a dialogue with regulators and consider a shared surveillance and data-sharing framework.
“Harmonizing a broad global approach to digital assets and competition in the digital currency space race can enhance US competitiveness and security and reduce fundamental costs for basic financial access,” said the director of Circle’s strategy and head of global policy, Dante Disparte. “CMIC’s commitment brings together leading industry players to advance market integrity standards.”
According to the CMIC website, the pledge asks that members agree to the following:
“Regardless of regulatory requirements, market activity must be reasonably and continuously reviewed and monitored in order to detect and eliminate market manipulation and unfair market abuse. Clear cases of fraud and manipulation are illegal, and we will commit to preventing these activities to the best of our ability.”
Related: Binance Denies Accusations of Market Manipulation
Crypto companies and industry leaders have formed other groups aimed at addressing challenges in mainstream adoption and among regulators. In September 2020, Square, now Block, started a consortium aimed at pooling cryptocurrency and blockchain-related patents to “defend against patent abusers and trolls.” In February 2021, Chainlink, Aave, Messari and others launched the GoodFi alliance to focus on promoting decentralized finance education and research.
This post Major Crypto Firms and Groups Form Coalition Aimed at Promoting “Market Integrity”
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