Market Abuse Controls

Definition ∞ Market abuse controls are a set of rules, systems, and procedures designed to prevent, detect, and deter manipulative or illegal activities in financial markets. These controls address practices such as insider trading, market manipulation, and unlawful dissemination of information. In digital asset markets, they aim to ensure fair and orderly trading, protecting investors and preserving market integrity. Compliance with these controls is essential for regulated exchanges and trading platforms.
Context ∞ The nascent digital asset markets have seen calls for stronger market abuse controls due to concerns over price manipulation and lack of transparency. Regulators are actively working to extend traditional market oversight principles to cryptocurrency exchanges and decentralized finance platforms. The implementation of robust surveillance and enforcement mechanisms remains a key discussion point for increasing investor confidence.

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→Regulatory Perimeter

→Market Abuse Controls

→Safe Harbor Provisions

SEC Chairman Details Project Crypto, Proposing Formal Token Taxonomy

The SEC Chairman's new framework prioritizes economic substance, suggesting tokens can shed security status, mandating a compliance pivot.

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→Client Asset Segregation

→ESMA Technical Standards

→Crypto Asset Service Providers

ESMA Prohibits CASPs Staking Client Crypto Assets under MiCA Framework

The explicit ban on proprietary staking of client assets fundamentally redefines CASP operating models, demanding immediate architectural separation of firm and client holdings.

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→Authorization Requirements

→Financial Instrument Test

→MiCA Regulation

ESMA Finalizes MiCA Rules Classifying Structured NFTs as Crypto-Assets

Firms must immediately update product structuring and compliance frameworks to manage the new MiCA authorization and disclosure mandates for fractionalized digital collectibles.

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→Secure Liquid Assets

→Regulatory Licensing

→Client Asset Segregation

UK Integrates Crypto Activities into Core Financial Services Law

The UK mandates FCA authorization for crypto exchanges and custodians, fundamentally shifting compliance from an AML-only perimeter to a full FSMA-based regulatory regime.

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→Financial Services Law

→Market Abuse Controls

→Prudential Considerations

UK Treasury Publishes Draft Law Integrating Cryptoassets into Financial Regulation Scope

Firms must now re-architect compliance systems to align with the UK's new legislative framework defining cryptoasset trading and custody as regulated activities.

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→Financial Promotions Rules

→Crypto Asset Regulation

→Risk Warning Mandates

FCA Mandates Strict Compliance for UK Retail Crypto Exchange-Traded Notes

Firms must immediately integrate Consumer Duty principles and the Restricted Mass Market regime into all cETN product structuring and distribution frameworks.