Gemini Adopts Nasdaq Technology To Monitor Cryptocurrency Trading
Gemini cryptocurrency exchange, the brainchild of the Winklevoss has announced that it has teamed up with Nasdaq to incorporate technology that will keep track of digital currency trading on its platform.
The announcement which was made yesterday revealed that the exchange will roll out the SMARTS surveillance technology from Nasdaq. This technology will allow the company to monitor Bitcoin (BTC) and Ethereum (ETH) crypto pairs with the main objective of identifying and discouraging market manipulation. It works by automating the process of analyzing, detecting and investigating trading practices that may appear to be disorderly or deceptive.
SMARTS has been used by some of the most popular exchanges in the world such as theIntercontinental Exchange (ICE). However, its adoption by Gemini marks the first time that it has been used in the cryptocurrency market. So far it has been deployed by 17 regulators,45 marketplaces and more than 140 participants. The technology will allow Gemini to detect any unusual activity and this will help curb the effects of market manipulation.
Gemini co-founder Tyler Winklevoss stated that the SMARTS surveillance technology from Nasdaq will help in making sure that the trading platform is a marketplace that is based on rules that should be followed by all participants in the market. The announcement about Gemini incorporating Nasdaq technology into its platform came just one day after Nasdaq CEO Adena Friedman made an announcement highlighting a positive step towards cryptocurrency. He stated that the firm is contemplating the provision of cryptocurrency exchange services when the market matures.
Winklevoss stated that the company decided to use the SMARTS technology so that it can facilitate a fair market. He also pointed out that Gemini has been aggressively pushing towards surveillance programs and comprehensive compliance because the company believes that it will not only improve the exchange but also the entire industry.
Gemini also believes that its adoption of the SMARTS technology is a great move especially considering that cryptocurrency exchanges have been facing a lot of pressure from regulators over their operations. Regulatory authorities will thus be pleased with the fact that Gemini is taking measures aimed at protecting the investors while also improving the overall trading experience.
Nasdaq’s senior VP Valerie Bannert-Thurner acknowledged Gemini’s decision to use her company’s product and even described it as a major milestone for the exchange. She also added that it highlights Nasdaq’s commitment toward taking the SMARTS technology beyond the traditional markets.