Part III: Principles for Token Trading Providers
What are best practices for token trading providers? Just as with the other sections of the GDF Code of Conduct, the third part aims to establish and maintain the accountability and credibility of trading platforms and non-regulated commodity tokens through formal voluntary principles.
It helps put in place clear and transparent governance practices for trading providers to facilitate a trusted formation of the cryptoasset system and to promote the safety and efficiency of the trading platform, conforming to applicable market conduct standards and expectations. It also facilitates trusted price discovery for cryptoassets and supports the stability of the broader cryptoasset system.
By the community for the community
The GDF community felt strongly that the Code should ensure that tokens available on the trading platforms adhere to best practices in order to build market stability. This includes disclosure of the requirements, thresholds and approval processes applied to the token before they are available on the platform. As a result, customers have sufficient information to make informed decisions before purchasing tokens.
According to the Code, the trading platforms must have a high degree of security and operational reliability and commit to periodic risk mapping to reduce potential risks. From an operational risk perspective, firms that sign up to the Code commit to implementing appropriate know your customer (KYC), customer due diligence (CDD) and multi-factor authentication processes to increase cybersecurity.
The GDF Code of Conduct is a living document, and we are open to feedback from the community if it feels additional matters should be included as the sector evolves.
Read Part III of the Code in full:
