Knowledge Hub
Business Conduct Risk
Strong governance and transparent conduct matter. Poor business practices can expose customers to manipulation, conflicts and misleading market activity.
Reliable digital asset providers should communicate clearly about their services, fees, execution arrangements and how client assets are handled. Vague or inconsistent information can be a warning sign.
Examples of problematic market conduct include pump-and-dump schemes, wash trading and front-running. These behaviours can distort market prices or trading volumes and disadvantage customers.
Key points to remember
Be alert to manipulated prices or volumes.
Use providers with credible governance, controls and transparent business practices.
Treat unrealistic promises and suspicious trading behaviour as warning signs.