Financial Services Perimeter

Definition ∞ The financial services perimeter defines the scope of activities and entities subject to financial regulation within a jurisdiction. It delineates which financial products, services, and firms fall under the purview of specific regulatory bodies. Activities outside this perimeter may operate with fewer regulatory constraints. This framework aims to protect consumers and maintain market integrity.
Context ∞ In the context of crypto news, the financial services perimeter is a frequent topic of debate as regulators worldwide determine how digital assets and related services fit into existing frameworks. Expanding or clarifying this perimeter to include cryptocurrency exchanges, stablecoin issuers, or DeFi protocols has significant implications for market participants. These regulatory decisions influence the operational landscape for digital asset businesses.