BitGo UAE Virtual Asset Standards
BitGo UAE Virtual Asset Standards
The following set out the factors on which BitGo will evaluate each Virtual Asset before making it available to our clients. These standards have been prepared in accordance with Rule VIII.A.1 of the Market Conduct Rulebook (the “V ARA Market Conduct Rulebook”) which is issued pursuant to and forms part of the Virtual Assets and Related Activities Regulations 2023 (as may be amended from time to time) issued by V ARA (the “Regulations”). Additionally, these standards are published on BitGo’s website in accordance with Rule VIII.A.3 of the V ARA Market Conduct Rulebook.
Market metrics
Assessing its market capitalisation, fully diluted value and liquidity, and whether such metrics have trended downwards over time.
Design system
Reviewing its design, features and use cases, both intended and unintended by the issuer or relevant developers.
Legal compliance and prohibitions
Evaluating whether there are features which may materially affect BitGo’s compliance with applicable laws, Regulations, Rules (as defined in Schedule 4 (Definitions) of the Regulations) or Directives (as defined in Schedule 4 (Definitions) of the Regulations), including but not limited to those relating to AML/CFT (as defined in Schedule 4 (Definitions) of the Regulations), sanctions, securities, intellectual property.
Reviewing regulatory treatment by V ARA and other appropriate authorities, including those outside of the Emirate (as defined in Schedule 1 (Definitions) of the V ARA Market Conduct Rulebook), in particular whether the issuance of the Virtual Asset has received any regulatory approvals. Reviewing whether a Virtual Asset is prohibited by V ARA or any other appropriate authorities, both inside or outside the UAE, in jurisdictions in which BitGo will provide V A Activities as specified in Schedule 1 (VA Activities) of the Regulations, or equivalent activities, in relation to such Virtual Asset.
Security
Assessing the security and immutability of the underlying Digital Ledger Technology protocol.
Future Development
Considering its future development (e.g. “roadmap”) as communicated by the issuer and/or relevant developers.
Risk of market manipulation
Evaluating whether it may be susceptible to price manipulation for any reason and relevant mitigations that will be implemented by BitGo.
Conflicts of interest
Assessing whether potential or actual conflicts of interest may arise should BitGo provide any V A Activities in relation to the Virtual Asset and relevant mitigations.
Issuer background
Investigating the background of its issuer including, but not limited to, relevant experience in the Virtual Asset sector and whether it has been subject to any investigations or claims in relation to fraud or deceit.
Asset rights and availability
Considering if the Virtual Asset represents rights to any other assets, the enforceability of such rights. Evaluating whether sufficient assets are available to satisfy any obligation with respect to any V A Activities.
Market correlation
Ensuring that the Virtual Asset terms and conditions reflect, to the extent possible, the operation of any existing underlying physical market and avoid adverse impacts to such market (if applicable).
Periodic review
Reviewing the Virtual Asset terms and conditions on a periodic basis for appropriate correlation with any physical market to ensure such terms and conditions conform to standards and practices in that physical market (if applicable).