by Huw Jones

LONDON (Reuters) – IOSCO, the international umbrella body for financial authorities, unveiled its guidelines for global regulation of cryptoassets and digital markets on Tuesday, less than a year after FTX fell.

The shock wave caused by the collapse of this “crypto” platform caused regulators to intervene and declare that rules were needed for these “conglomerates” – which take on different roles ranging from brokerage services to the custody through proprietary trading and issuing “tokens” – in order to avoid conflicts of interest.

According to Jean-Paul Servais, the president of IOSCO, the projects presented on Tuesday represent a turning point in the fight against the risks associated with cryptoassets, such as bitcoin and ether.

“The sector has been allowed to develop on a flawed basis and this needs to be addressed,” he told a news conference.

IOSCO’s proposals cover the management of conflicts of interest, market manipulation, cross-border regulatory cooperation, custody of crypto-assets, operational risks and the management of retail investors.

“Recent global events have shown us why we need this work. It’s about making sure cryptocurrencies are safe for the market,” said Matthew Long, director of digital assets at the Financial Regulatory Authority. UK (Financial Conduct Authority, FCA).

The 18 planned measures apply long-established safeguards in traditional markets in such a way as to avoid conflicts of interest between the different parties in a “crypto” transaction.

The watchdog, which coordinates regulations for G20 countries and others, aims to finalize its recommendations by the end of the year and hopes its 130 members around the world will use them to fill gaps in their policies. own regulations.

The Council of the European Union last week adopted a regulation on crypto-asset markets, establishing for the first time a legal framework at EU level, which is increasing the pressure on the United Kingdom, the United States and other countries for the development of their own standards.

( Laetitia Volga, edited by Blandine Hénault)

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