Risk Management Standards are established guidelines and procedures designed to identify, assess, monitor, and mitigate various financial and operational risks. These standards help organizations protect assets, ensure compliance, and maintain stability. For digital asset firms, they address unique risks associated with blockchain technology and crypto markets.
Context
The discussion surrounding Risk Management Standards in the digital asset sector focuses on adapting traditional financial risk frameworks to the novel characteristics of cryptocurrencies and decentralized finance. Regulators are presently developing specific guidelines for areas such as smart contract security, custody of digital assets, and market manipulation. Monitoring these evolving standards will offer insight into strengthening the resilience of crypto operations.
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