NASDAQ, one of the three major US stock exchanges, believes it can effectively combat fraud and cryptocurrency manipulation. According to Bloomberg, NASDAQ representatives have stated that regulators, brokers and exchanges that work with familiar financial instruments have long had effective algorithms to monitor and control fraud and manipulations (spoofing, artificial pumps and dumps). For this, the most advanced technologies are used, which gives a good result.
The options exchange recognizes that the criticism of the crypto market in terms of the lack of necessary regulation to combat illicit trade is partly fair.
Representatives of the exchange believe that the way out is the possibility of using SMART monitoring technology. It was developed by NASDAQ and is already in use at Gemini (the Winkloss Brothers Exchange).
At the current scale, the technology is not able to solve the problem of manipulation in the cryptocurrency market. However, its mass introduction will bring to nothing the manipulations of unscrupulous market participants.
This is a very interesting offer from the leading representative of the stock market, though it looks a bit like advertising its product. It’s still difficult to say how effective SMART technology will be in global crypt trading.
The fact that this information began to be actively discussed at the stage of market institutionalization is not an accident. Representatives of the world of cryptocurrency in every way demonstrate that the market is stable, and manipulation is only a small and temporary drawback. We can conclude that the price of Bitcoin and other coins will no longer show incredible pumps. Everything testifies that the era of market (or pseudo market) pricing is coming. After all, the appearance of stability is created by the same tools as the appearance of growth.