The US Commodity Futures Trading Commission (CFTC) is taking a significant step to enhance its oversight of the expanding crypto market by adopting Nasdaq’s advanced surveillance program.
Nasdaq’s Market Surveillance system is designed to cover multiple asset classes and is instrumental in identifying potential market manipulation. By leveraging comprehensive order book data, this technology enables regulators to conduct real-time analysis, facilitating swift decision-making and robust oversight.
As the CFTC continues to oversee crypto assets, the US government’s increasing focus on the digital asset landscape, especially in terms of creating a more accommodative regulatory environment, has expanded the agency’s responsibilities.
Acting Commodity Futures Trading Commission Chair Caroline Pham emphasized the importance of staying ahead in regulatory practices, stating:
It’s critical that the CFTC stays ahead of the curve. Nasdaq Market Surveillance will provide the CFTC with automated alerts and cross-market analytics that will benefit each of the CFTC’s operating divisions.
This announcement coincides with the CFTC’s launch of the next phase of its “Crypto Sprint” initiative, aimed at evaluating and implementing recommendations from the White House regarding digital asset regulation.
In alignment with the Securities and Exchange Commission’s (SEC) “Project Crypto,” the CFTC is also working closely with SEC Chairman Paul Atkins and Commissioner Hester Peirce to provide regulatory clarity and foster innovation within the digital assets market.
Featured image from DALL-E, chart from TradingView.com
