Coinbase, Circle and Anchorage join forces to combat market manipulation

More than a dozen major cryptocurrency companies, including Coinbase, Circle and Anchorage, have formed a coalition to combat market manipulation.

Announcing the launch of the Crypto Market Integrity Coalition (CMIC). Circle and the other 14 founding members are dedicated to elevating market integrity standards to build a safer #crypto ecosystem. Learn more about the mission here: https://t.co/75ecHWYBg5

— Circle (@circlepay) February 7, 2022

The aim of the initiative is to bolster public trust and regulators’ confidence in the growing digital-asset industry.

The project, Crypto Market Integrity Coalition (CMIC), was launched by Solidus Labs, a firm specialising in detecting abuses in crypto markets.

The group urged all participants in the industry committed to advancing market integrity to join the initiative by signing the corresponding convention.

Coalition members’ commitments include:

• raising standards of market integrity;
• risk monitoring;
• protection of consumer rights and compliance with regulations.

The CMIC convention defines the main forms of manipulation and types of unfair trading conduct. Participants commit to avoid them to ensure “safe and fair trading conditions.”

«By working together, we can build a safer crypto-economy, focused on the integrity of our interconnected markets,

— Paul Grewal offers Coinbase’s Chief Legal Officer.

According to the statement, the coalition’s future plans include:

• expanding information-sharing and dialogue with regulators;
• promoting educational programs;
• harmonising data-exchange structures and joint monitoring;
• considering unique issues related to supervising cross-chain DeFi markets.

As a reminder, concerns about inadequate protection of the spot Bitcoin market from manipulation have been among the main arguments of the SEC in rejection of numerous applications to launch a cryptocurrency-based ETF on the basis of cryptocurrency.

In early February, the regulator, for this reason extended the review of the prospectus for Grayscale Investments’ spot Bitcoin ETF.