World’s popular crypto exchanges to face big issues as New York’s attorney general Eric Schneiderman started to take good interest into this.
According to the press release published on Tuesday, Eric Schneiderman announced “Virtual Markets Integrity Initiative” stating it was an inquiry to find some flaws in the policies and practices of crypto trading platforms. According to the reporters, letters were sent to 13 exchanges seeking information about everything i.e use of bots, conflicts of interest, outages and other key issues.
Eric also quotes “ With the rise of the crypto market, New Yorker’s who have invested their money in crypto’s should have right to transparency, yet too often consumers don’t have basic facts to have control on integrity and security on these crypto trading platforms.
According to our reports, Letters were sent to the companies that operate GDAX, bitFlyer, Binance, Gemini, itBit, Huobi.Pro, Bittrex, Bitfinex, Bitstamp, Gate.io, Kraken, Poloniex (the latter of which was recently acquired by Circle) and Tidex.
According to Eric, the inquiry is focused on minor issues such as “internal controls and safeguards to protect consumer assets.” Statements parsed by Attorney general i.e Eric states to have a good look at the exchanges that explicitly they do not operate from Ney York.
“We are aware that certain crypto trading platforms have formal rules and regulations barring access in New York and may not have a license to engage in virtual currency business activity in NY. Among other topics, we are asking cryptocurrency platforms to describe their measures for not allowing trading from prohibited jurisdictions,” the announcement stated.