Bybit, a Dubai-based cryptocurrency exchange, has implemented Nasdaq’s Market Surveillance platform to enhance its compliance efforts across European operations.
According to the firm, this move is crucial for aligning with the European Union’s (EU) Markets in Crypto-Assets Regulation (MiCAR), which mandates comprehensive surveillance and reporting measures for digital asset exchanges.
Bybit EU, the entity managing this initiative, aims to provide regulated crypto services across the European Economic Area, excluding Malta. The adoption of Nasdaq’s platform is expected to facilitate Bybit EU’s adherence to local regulatory frameworks as it continues to extend its reach.
Nasdaq Market Surveillance supports over 50 exchanges and 20 international regulators globally. The platform includes algorithms and tailored alerts for cryptocurrency markets, derived from over three decades of experience.
The architecture of Nasdaq’s platform ensures that Bybit EU can efficiently access order book data in real-time. This capability is vital for identifying potential market abuses such as manipulation and liquidity exploitation.
The system’s integration features continuous monitoring of more than 60 billion daily crypto transactions and includes a control framework for data quality management and auditing.
Nasdaq regulatory technology head Ed Probst said: “MiCAR is driving a step change in investor protection across digital asset markets, but many compliance programmes are still failing to match the level of investor protection offered by traditional markets.
“We welcome the opportunity to partner with Bybit EU, who recognise the benefits of incorporating comprehensive market data into its surveillance framework to protect against critical threat scenarios.”
Bybit EU operates under the MiCAR framework as a licensed Crypto-Asset Service Provider (CASP). It offers various services including crypto custody, exchange of crypto-assets for funds or other crypto-assets, and transfer services on behalf of clients within the region.
The entity ensures all operations comply with European standards for investor protection and market integrity.
The platform’s software-as-a-service deployment promises regular updates and enhancements, maintaining alignment with evolving global regulations.
Bybit EU managing director and CEO Mazurka Zeng said: “This agreement demonstrates our commitment to providing secure, transparent, and fully compliant digital asset trading as we continue to grow our business.
“We welcome the opportunity to partner with Nasdaq, whose innovative technology and unparalleled surveillance expertise, help safeguard the resilience and integrity of our marketplace.”
