OKEx, one of the world’s largest spot and futures digital asset exchanges, announced an initiative to create a self-regulated organization (SRO) aimed at standardizing exchange practices and policies. Similar to the World Federation of Stock Exchanges, FINRA in the United States, and the World Economic Forum, OKEx is engaging exchanges and market participants in the global crypto-trading community to become members of this initiative.
This SRO will be an independent, membership-based organization that is neutral and open to exchanges of all sizes and jurisdictions. Member exchanges will work together to define and adopt standards that will promote digital asset adoption globally, educate governments and regulators, and develop metrics and criteria for trading, listings, and reporting.
“Cryptocurrencies are global and decentralized, and the industry remains nascent, thus regulations by jurisdiction are not enough,” said Andy Cheung, head of operations for Malta-based OKEx. “The only way for exchanges to grow and deliver impact is by joining together to develop practices and policies that will set a global standard and adapt to regional regulatory frameworks.”
Exchanges must clarify their operational practices and procedures in order to best cooperate with governments and encourage innovation in this sector.
OKEx invites other exchanges to join the company in establishing standards for market-making, listings, delistings of digital assets, and other items critical to the growth of the entire industry. Crypto exchanges share a common goal to protect investors and traders, and to foster innovation in the cryptocurrency ecosystem.
“While other organizations have introduced initiatives to elevate standards for crypto exchanges, most are focused on one jurisdiction. Our initiative is focused on creating a global SRO that can provide international standards,” said Enzo Villani, head of international strategy and innovation at OKEx.