NASDAQ Works With 7 Crypto Exchanges But Has Publicized Gemini And SBI Virtual Currency Dealings

NASDAQ Is Working With 7 Crypto Exchanges But Has Publicized Only 2

In 2017, there were many inexperienced traders in the market who got in just because of fear-of-missing-out. After the first major crash, mostly the experienced players stayed. Many prominent financial institutions, including NASDAQ was one of them.

In November 2018, NASDAQ released a blog making a case for cryptocurrency surveillance which read:

“Cryptocurrencies aren't just a buzzy new trend — they represent a powerful technology that promises to revolutionize the way people think about financial technology and the use and handling of currency. One of the most attractive features of cryptocurrencies is privacy, but that has led to cases of abuse and manipulation. Nasdaq, meanwhile, has spent decades creating solutions for the monitoring of stocks, currencies, securities, and other markets — in short, the very tools needed to fight the problems that cryptos are facing. In fact, Nasdaq already licenses its market-surveillance technology to Gemini, a crypto market founded by the Winklevoss twins.”

However, to use their proprietary surveillance technology not only do exchanges require money, but they also need much more. Nasdaq has a crew of about 20 people that act on due diligence processes for crypto exchanges guaranteeing that they comply with stringent reporting and security measures. Apparently, only 7 exchanges have been able to pass through but NASDAQ has publicized the name of only 2, Gemini and SBI Virtual Currency.

How Can An Exchange Get On-Board?

The selection process can be broken down into 3 categories: Business Model, KYC/AML, and Exchange Governance & Controls.

  • Business Model: The team determines the substance of crypto assets to use such as to understand whether it has been used to buy drugs in past. It is basically the test for reputability.
  • KYC/AML: This step is concerned with the organizational structure and the owner’s background in terms of technical and financial market knowledge. The team carries out their own KYC procedures on the exchanges and work only with the companies that have proved themselves although they are willing to work with unusual clients.
  • Exchange Governance and Control: In the final step, the key question that the exchange asks is “Are crypto asset listing standards in place?” Many exchanges are vague and opaque about their listings, while others like Coinbase are transparent.

Nasdaq’s head of exchange and regulator surveillance team, Tony Sio said:

“The objective that we’re trying to work with crypto, is we see this as a growing asset class. So we’re working to help provide our technology, it could be around matching, it could be around surveillance, to help our customers as they grow their marketplaces.”

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Sritanshu Sinha
Sritanshu Sinha
Sritanshu has a keen interest in emerging technologies, startups and economic anthropology. He holds the view that cryptocurrencies are the best bet humanity has got to push the world towards a borderless economy.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer


Please enter your comment!
Please enter your name here


Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

People's Bank of China (PBoC) Testing Digital Yuan (DCEP) for Credit Card Payments

China has been aggressively developing its central bank-issued digital currency (CBDC), popularly known as digital yuan. As per the latest reports, the People's Bank...

Indian Crypto Exchange, Pluto, Pulls An Exit Scam on Investors; Making Off With $270K

A Delhi-based crypto exchange, Pluto, has allegedly exit scammed and stolen about $270,000 worth from 43 investors. The local reports suggested that the Economic...

Bitcoin Mining Legalized in Venezuela But Being Centralized with National Digital Mining Pool

Venezuela has fully legalized bitcoin mining. According to a recent decree from the National Superintendency of Crypto Assets and Related Activities (SUNACRIP), the use,...

China Blacklists Crypto OTC Trading Desks With A Five-Year Banking Ban As Punishment For Illegal Acts

PBoC blacklists crypto OTC traders in its latest efforts to crack down on money laundering. This has caused several OTC trading desks to...

Cryptocurrency Community Makes a Shift; Betting Big on Non-Fungible Tokens (NFTs)

DeFi continues to rage, approaching a $10 billion peak. But the latest talk of the town is NFT. In 2017, it was CryptoKitties; this...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today