This article has been republished with permission from Coin Edition.
NYDFS has increased its ability to detect illegal activities such as fraud and insider trading.
Director Adrienne Harris recently unveiled new market manipulation risk monitoring tools.
These measures are intended to control entities regulated by the State of New York
The New York Department of Financial Services (NYDFS) has redoubled its efforts to crack down on illegal activities in the digital currency industry in New York State. The department recently announced that it has enhanced its ability to detect illegal activities such as fraud and manipulation through new insider trading and market manipulation risk monitoring tools.
According to the department's press release, these enhancements will assist in detecting insider trading and market manipulation involving cryptocurrency companies regulated by NYDFS. Furthermore, the new measure will help detect contact of applicants with listed wallet addresses.
Speaking about this new innovation, NYDFS Director Adrienne A. Harris said: “This is an important step in our oversight of the cryptocurrency industry as it rapidly transforms and matures. . These tools will help us fight financial crime and fraud, hold regulated companies accountable, and further strengthen national leadership in cryptocurrency oversight.”
NYDFS further stated that in light of recent developments in the cryptocurrency market, the agency has been in close contact with cryptocurrency companies regulated by the state of New York. These enhancements are the latest in a series of measures taken by New York regulators in the interest of consumer protection and proper regulation of the industry.
The latest announcement is in line with the guidance on blockchain analytics issued by the ministry last April. Amid heightened market uncertainty, NYDFS issued consumer protection guidance last month that sets out reasonable custody and disclosure expectations from cryptocurrency companies in the market. In case of insolvency.
The post NYDFS Enhances Tracking of Market Manipulators and Insider Trading was first published on Coin Edition.
