On 11 July 2023, Global Blockchain Business Council (GBBC) Digital Finance launched their Global Cryptoasset Standards. It is a code of conduct for financial institutions engaging in intermediation activities such as brokerage, custody, and settlement of cryptoassets like bitcoin and Ethereum.
The Standards are comprised of 63 principles across six domains:
Ethics
Governance
Execution
Information Sharing
Risk Management and Compliance
Confirmation and Settlement Processes
The Standards were inspired by global best practice and codes such as the FX Global Code. Attempts are being made for the Standards to be recognized in the UK, by the FCA and in the US, by the CFTC.
There is an Annex comprised of almost 20 illustrative examples of common market situations so that readers can better understand how to apply the Standards and avoid bad practices. These are well worth a read but do bear in mind they are global so relatively high level.
The Standards are an excellent starting point for further discussion around how these can be used to enhance a firm’s digital asset policies and procedures. Give us a call to discuss such enhancements.
From the press release: “GDF is the leading global members association advocating and accelerating the adoption of best practices for crypto and digital assets. GDF’s mission is to promote and facilitate greater adoption of market standards for digital assets through the development of best practices and governance standards by convening industry, policymakers, and regulators.”
Here are the links to the Press Release and the Standards.
