Surveillance Sharing Agreements

Definition ∞ Surveillance sharing agreements are regulatory arrangements allowing for the exchange of market trading data between different exchanges or jurisdictions. These agreements are primarily designed to detect and deter market manipulation and fraud by providing regulators with a comprehensive view of trading activity across various venues. In the context of digital assets, they are often a prerequisite for approving certain financial products, such as spot Bitcoin exchange-traded funds (ETFs). Their purpose is to enhance market integrity and investor protection.
Context ∞ Surveillance sharing agreements are a prominent topic in crypto news, particularly concerning the regulatory approval of mainstream digital asset investment vehicles. Debates often focus on the scope and effectiveness of these agreements in highly fragmented and globally distributed crypto markets. The establishment of robust, cross-border surveillance mechanisms remains a key challenge for regulators seeking to bring digital asset markets under conventional oversight.