Alongside other industry associations, GDF has convened industry leaders to develop the standards needed to accelerate the adoption of digital assets, and ensure firms are able to meaningfully comply with global regulatory requirements.
In April 2023, the new interVASP Standards Working Group (ISWG) was formed as an open Independent Working Group Node, under the auspices of GDF’s Open Standards Council to maintain and further develop the IVMS 101 standard to create greater consistency and integrity within the crypto ecosystem.
ISWG opened with a plenary on May 31st, with co-chairs, Andrew Davidson of OpenVASP and Neil Samtani of VASPnet, proposing a program of work to address issues, errata and enhancements that have been submitted since the Standard was published in May 2020. The plenary concluded with a mandate from the ISWG to progress such efforts.
During Q3 2023, the Group met weekly, with proposals for revisions tabled, considered, revised and approved (or not) for inclusion to the revised Standard, IVMS101.2023.
The Global Cryptoasset Standards
GDF has released the Global Cryptoasset Standards, a code of conduct for financial institutions engaging in intermediation activities such as brokerage, custody, and settlement of cryptoassets like bitcoin and Ethereum.
The Global Cryptoasset Standards consists of a set of global principles that are intended to promote a robust, fair, liquid, open, and appropriately transparent market in which a diverse set of market participants, supported by resilient infrastructure, are able to confidently and effectively transact at competitive prices that reflect available market information and in a manner that conforms to acceptable standards of behavior.
The Standards are comprised of 63 principles across six domains: Ethics, Governance, Execution, Information Sharing, Risk Management and Compliance, and Confirmation and Settlement Processes, and were inspired by global best practice industry standards and codes such as the FX Global Code.
The Standards have been through a rigorous development process over the past 18 months, led by the Global Financial Institutions for Cryptoassets Working Group. The Standards have been subject to an open public consultation. The feedback received from the community was examined and implemented as necessary by the Working Group and its key stakeholders.
The Standards have also been in purview of global regulators, including the Financial Conduct Authority (FCA), the U.S. Securities and Exchange Commission (SEC) and the Hong Kong Monetary Authority (HKMA). The Standards offer the best global practices for regulated firms handling cryptoassets, aimed at giving assurance to clients, regulators, employees, and shareholders.
Global Financial Institutions for Cryptoassets (GFIC) Commitment Statement
The Global Financial Institutions Crypto Working Group (GFIC), administered by GBBC Digital Finance and chaired by Standard Chartered and Ownera, was established to work towards a common financial conduct and operating standards framework for crypto assets in the wholesale market. As a result of its commitment to developing the standards in collaboration with regulators and financial institutions, the group invites its members to certify to its Statement of Commitment to the Development of the Global Crypto Standards below.Read the Full Statement Certify (Members Only)
Regulatory Knowledge Series
GDF's first Regulatory Knowledge Series, with René Michau, Standard Chartered, and Anthony Woolley, Ownera, aims to establish how the group can best engage regulators to shape the future of institutional crypto adoption. The rapid evolution and increased investment has driven the group, and fuelled a positive sentiment and growing demand for crypto assets from institutional investors. GDF's working group continues to play a significant role in establishing the industry voice representing financial institutions whilst establishing trust with global regulators to promote together a safe, efficient, transparent and innovative global crypto asset ecosystem.
GDF Virtual Asset Due Diligence Questionnaire
The KYC/AML/CTF Working Group has developed Anti-Money Laundering Due Diligence Questionnaire for Virtual Asset Service Providers (VASPs). The questionnaire has been designed to provide an overview of the VASP’s anti-money laundering policies and practices. It may be used as part of the on-boarding entity’s AML programme’s due diligence requirements for a particular VASP. However, institutions are responsible for ensuring their AML programmes are designed to meet regulatory requirements/expectations and internal risk management standards of their jurisdiction, thereby determining the exact manner in which the Questionnaires are utilised in their AML programme.