CryptoCompare gets FCA approval to operate as benchmark administrator

Karthik Subramanian

CryptoCompare, one of the oldest crypto companies that is now specialised in operating as a data aggregator and index provider, has announced that it has received approval from the Financial Conduct Authority (FCA) in the UK to operate as a benchmark administrator.

This is a growing sign that the crypto market is maturing as an asset class in which investors would be able to invest, not only small investors but also large ones as well. These indexes and benchmarks are important parameters that are likely to be used by most large investors and funds who would be interested to participate in the crypto market. It is only on these that many ETFs and mutual funds would be basing their investment decisions on and hence the data and the investing industry must develop hand in hand for the market to mature in the long term.

“I am delighted that CryptoCompare has now achieved FCA authorization, creating new avenues for institutional and retail investors to gain exposure to our standard-setting digital asset indices,” said Charles Hayter, CEO of CryptoCompare.

The data and index subsidiary of CryptoCompare, CC Data Limited, is the one that has received the FCA approval and it would not be able to issue benchmarks for financial instruments and measure the fund performance as well. It is an important development for the company as CryotCompare has been at the forefront of the crypto industry as a data collection platform and for long, it has been used by many crypto traders, big and small, for data references or to check the performance and backtesting of their robots as well. It has been a clear leader in this aspect and has risen to this position from its humble beginnings as a simple data provider within a short period.

CryptoCompare’s FCA authorization allows service providers to create various regulated financial products that are underpinned by CryptoCompare’s suite of digital asset indices. This includes the creation and issuance of investment product referencing indices; reference rates, contract settlement pricing, portfolio asset allocation, and the measurement of fund performance.

The platform provides real-time and historical data for over 5,500 coins/tokens and 250,000 token pairs. The data is at the tick-level which helps the platform to give a granular view of the market data across various sectors.

Read this next

Digital Assets

Zero Hash obtains AUSTRAC registration in Australia

Seed CX is expanding the reach of its crypto settlement solution, dubbed ‘Zero Hash,’ which has registered with the Australian Transaction Reports and Analysis Centre (AUSTRAC) as a digital currency exchange provider.

Digital Assets

UK advertising watchdog slams Arsenal over misleading crypto ads

The UK advertising watchdog has reprimanded Arsenal Football Club for promoting crypto assets without warning fans of the potential associated risks.

Retail FX

Swissquote profit slips as crypto revenue falls by two thirds

Swissquote Group, Switzerland’s provider of online trading services, reported that its H1 revenues dropped by nearly a quarter from a year ago as clients’ interest in crypto trading stagnated.

Digital Assets

Crypto.com granted approval to operate business in Cayman Islands

Crypto.com, one of the longest-established crypto platforms, has obtained a new registration in the Cayman Islands under the Virtual Asset Services Providers Act.

Executive Moves

United Fintech hires Mitch Vine and Danny Finnerty to expand US footprint

“United Fintech’s expansion in the US is pivotal to our mission of helping financial institutions digitize and gain access to best in class capital markets focused technology.”

Digital Assets

Ankr backed by Binance Labs after several initiatives in support of BNB Chain

Ankr has made a series of upgrades to the BNB Chain, including Erigon, the Archive Node, and the latest BNB Application Sidechain (BAS) scalability solution.

Retail FX

Financial Commission terminates membership of LordFX

The Financial Commission, an independent self-regulatory compliance specialist for the financial services industry, has expelled forex brokerage LordFX from its membership, according to a FinaCom statement.

Industry News

Match-Prime Liquidity sponsors Cypriot football club Omonoia FC

“We feel privileged to support Omonoia as it’s one of the largest teams in Cyprus, fandom size-wise, and we know it has a special connection with its supporters.”

Institutional FX

XTB’s X Open Hub adds 30 cryptos to white label offering for brokers

Its solutions include deep institutional liquidity on more than 5,000 global instruments, such as indices, shares, forex, cryptocurrencies, commodities, and ETFs, and a white label platform that can be fully customized and branded for each brokerage.

<