Cryptoasset market structure describes how digital assets are traded and organized. This term refers to the operational framework comprising various trading venues, such as centralized exchanges, decentralized exchanges, and over-the-counter desks, along with the intermediaries, liquidity providers, and protocols that facilitate transactions. It includes the mechanisms for price discovery, order execution, and settlement, which collectively determine market efficiency and accessibility. The structure influences liquidity, volatility, and regulatory oversight within the digital asset space.
Context
News often focuses on the evolving cryptoasset market structure, particularly the shift between centralized and decentralized trading platforms. Regulatory bodies are actively examining market structure to address concerns about market manipulation, investor protection, and systemic risk, seeking greater oversight. Future trends point towards increasing institutional participation and the potential for new hybrid market models combining elements of traditional finance with decentralized technologies, altering the market landscape.
The JFSA's FIEA reclassification imposes a rigorous disclosure standard on 105 major digital assets, fundamentally altering market compliance architecture.
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