The Importance of Prudential Regulation in the Digital Asset Sector

The safety and soundness of digital asset players rests on their ability to manage a range of risks. The appropriate Prudential measures will depend on each business's risk profile, they say. Market conduct regulation establishes standards around the behavior of market intermediaries and participants in order to secure confidence and integrity in markets. Consumer protection safeguards are about ensuring that crypto users are treated fairly - but U.S. policymakers have highlighted concerns about speculative trading and scams.