FINRA Adds New Crypto Assets Section to its 2024 Annual Regulatory Oversight Report
The Financial Industry Regulatory Authority (FINRA) has published its annual oversight report for 2024, which for the first time includes a section focused on crypto assets.
FINRA is a self-regulatory organization in the United States that monitors securities broker-dealers, who are required to be members. It is overseen by the Securities and Exchange Commission (SEC).
The report is described as a useful tool for member firms to support their compliance programs. Among the 26 topics covered in the report were developments in the crypto space and advertised trading volumes.
The section on crypto assets was aimed at firms currently involved in crypto-related activities or considering entering the industry.
FINRA’s Membership Application Program (MAP) approves firms to deal in private placements, operate an alternative trading system for crypto securities, and provide custody services.
According to the report:
“FINRA’s Membership Application Program (MAP) follows the guidance of the SEC in evaluating a firm’s proposed crypto asset securities business, in accordance with applicable rules such as the SEC’s financial responsibility and customer protection rules.”
