Category Statistics
Discover the key insights and findings for each Exchange Benchmark category below.
- Legal/ Regulation
- Security
- Transparency
- Data Provision
- KYC/Transaction Risk
- Market Quality (Derivatives)
Increase in the number of exchanges regulated in Asia in the last 6 months. The most popular jurisdictions in APAC include Singapore, South Korea and Hong Kong.
Of exchanges are regulated under a virtual asset regime that addresses wider consumer protection, market conduct or prudential requirements in addition to AML/CFT requirements.
Exchanges are now regulated under broader regimes, thanks to companies securing new licenses and authorisations, alongside enhanced requirements for regulated VASP entities under updated regulatory frameworks.
Increase in European licenses in the last 6 months, with Lithuania being the most popular jurisdiction currently, followed by Italy, France and Spain.
Of exchanges possess an ISO 27001 or SOC Type II security certification (vs 40% in Apr 24).
Of exchanges utilise the services of a custody provider; in some cases, exchanges may also utilise the services of multiple custodians for different jurisdictions or offerings.
Of exchanges explicitly offer Off-Exchange Settlement via a Custody Provider (e.g. Zodia Interchange, Copper Clearloop, Cobo Superloop etc).
of exchanges have implemented a public Bug Bounty, of which the highest is Kraken’s, currently valued at $1.5mn as the maximum for a critical severity bug discovery.
Of exchanges offer regularly audited financial statements, either publicly or disclosed to us via DDQs.
provide Merkle proof functionality enabling users to independently confirm the safety of their funds.
of exchanges are audited, where the scope of the audit attests both proof of reserves and proof of liabilities.
of exchanges have directly integrated with Nansen to offer transparency of asset reserves.
Of exchanges offer a dedicated API status page, outlining any historical or planned downtime.
Of exchanges offer a maximum orderbook level of L3, whilst 82% offer at least L2 via REST or Websocket connection.
Of exchanges offer candlestick minimum granularity of at least 1 minute, with only 2.5% of exchanges offering 1 second granularity.
Of exchanges offer API rate limits above 600, reducing to 30% above 1000.
Of exchanges have formally engaged an external Transaction Monitoring provider, enhancing compliance with AML regulations.
Of exchanges impose strict ID verification requirements on users, restricting unverified users from trading on the platform.
Of exchanges have formally engaged an external market surveillance provider.
Of exchanges collect Source of Funds as a maximum KYC requirement.
Of derivatives exchanges have insurance funds in place in case of unexpected losses due to exceeding initial margins.
Of exchanges offer futures settlement in USD and cryptocurrency.
Of exchanges offer both perpetual and calendar futures.
Of exchanges incentivise market makers to enhance market quality.
