Just read New York Attorney General Report Says Crypto Exchanges are at Risk of Manipulation

New York Attorney General Report Says Crypto Exchanges are at Risk of Manipulation

A new report published by the New York Attorney General’s office on September 18 says that cryptocurrency exchanges are vulnerable to manipulation, conflicts of interest, and other consumer risks. The report represents the results of the “Virtual Markets Integrity Initiative” launched in April, when New York Attorney General Eric T. Schneiderman sent letters to thirteen crypto exchanges, requesting information on their operations, internal controls and other key issues. The move was taken in order to provide average investors with a better understanding of the risks and protections associated with cryptocurrency trading platforms, as well as increase transparency. The report further outlines abusive trading practices, emphasizing that the majority of crypto trading platforms deploy automated traders, offering them special conditions, which leaves retail customers at a disadvantage. It also states that digital currency exchanges involve numerous, overlapping lines of business that represent serious conflicts of interest.

Read the full article at cointelegraph

Wednesday, September 19, 2018