Broadridge Financial Solutions, the global tech firm supporting the financial services industry, has launched ‘ClearFi’, a new product suite designed to help financial intermediaries operating within the digital asset space get ahead of current and emerging disclosure regulations.
Broadridge found that many investors want basic information that is otherwise difficult for them to access because it is both on and off-chain, and that others want to better understand how to evaluate digital assets, according to its Digital Asset Disclosure Survey.
The tech firm said that client conversations highlighted a clear need for a broad agreement to provide investors with standardised and tailored information to address needs that evolving regulatory frameworks are looking to address.
Broadridge built ClearFi with these needs in mind, to offer investors trusted data, in-depth disclosures, and the timely, detailed insights they require to ensure greater levels of success in the digital asset market.
“Exchanges, broker-dealers, wallet providers, regulators, and elected officials are all eager to ensure that everyday investors have information to know what their investment products are,” said Rob Krugman, chief digital officer at Broadridge. “By working with industry partners throughout the process, we’ve created a platform that helps investors and advisers quickly access better understand and monitor their digital asset investing.”
ClearFi consolidates and aggregates on and off-chain information to provide an overview of the digital asset, including information on the underlying technology, tokenomics, governance, and purpose.
Ensuring compliance
Because there isn’t an ‘issuer’ in the traditional sense with many digital assets, ClearFi combines on-chain data with information collected from hundreds of trusted off-chain data sources. The information is mapped to a standardised taxonomy enabling intermediaries including exchanges, brokers and asset managers to provide insight into the assets available on their platforms.
Broadridge built this standardised taxonomy for digital assets to help foster greater literacy while enabling individuals to evaluate, compare and educate themselves on assets.
Intermediaries can also use ClearFi data to address emerging global regulations, including Canadian and UK know-your-product (KYP) rules and MiCA Whitepaper reporting requirements.
“The introduction of ClearFi demonstrates Broadridge’s continued leadership and innovation in improving disclosure as investing democratises across economies,” said German Soto Sanchez, chief product and strategy officer at Broadridge.
ClearFi is already globally available through a web interface and API. ClearFi helps broker-dealers, exchanges, and wallet providers provide their clients and participants with useful on-chain and off-chain information about digital assets, including cryptocurrencies, stablecoins, as well as DeFi innovations made available through their platforms.
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