IOSCO: the first global crypto regulatory framework

Image credits: IOSCO

Whilst national crypto regulatory frameworks are still taking shape post-FTX and the TerraLabs implosion,  the International Organization of Securities Commissions Organizations’ (IOSCO) crypto-regulatory framework is to be welcomed. IOSCO has provided global jurisdictions with comprehensive guidelines on regulating cryptocurrencies. The framework comprises a total of 18 measures, all of which have been drawn from pre-existing frameworks. The primary focus of IOSCO’s recommendations is on how clients should be protected, and covers:

·      how crypto trading should meet the standards that apply in public markets

·      managing conflicts of interests

·      preventing market manipulation

·      facilitating cross-border regulatory cooperation

·      ensuring secure custody of cryptocurrencies

·      addressing operational risks

·      safeguarding the interests of retail customers.

The recommendations, if widely accepted by the 130 members of IOSCO, are expected to make re…