Dubai-based cryptocurrency exchange Bybit, through its EU entity, has adopted Nasdaq’s market surveillance platform to reinforce its ability to prevent and detect market abuse across its European markets.

The technology will help ensure compliance with the European Union’s Markets in Crypto-Assets Regulation ( MiCAR ), which compels digital asset exchanges to implement rigorous surveillance and reporting requirements.

“This agreement demonstrates our commitment to providing secure, transparent, and fully compliant digital asset trading as we continue to grow our business,” says Mazurka Zeng, managing director and chief executive officer of Bybit EU. “We welcome the opportunity to partner with Nasdaq, whose innovative technology and unparalleled surveillance expertise help safeguard the resilience and integrity of our marketplace.”

Nasdaq Market Surveillance is the most widely used market surveillance technology globally, adopted by over 50 exchanges and 20 international regulators. The platform provides access to comprehensive order-book data, supporting real-time decision-making, which is emerging as a critical frontier in preventing and detecting market abuse in crypto markets. 

While certain behavioural indicators can signal potential manipulation, prevention requires exchanges to combine pattern-recognition algorithms with comprehensive market data, overlaid with alerts tailored to specific mechanics of each market, Bybit says.

Nasdaq's technology is designed to significantly reduce false positives and detect cross-market manipulation, timing-based violations, layering and spoofing, liquidity exploitation, as well as currency and commodity manipulation.

Bybit EU offers a comprehensive range of crypto-related services, including custody, exchange, and rewards, in full compliance with European regulations for investor protection and market integrity.