Institutionalisation

1. Financial markets regulation - institutional investors - crypto-assets.

The adoption by traditional financial sector participants and institutional investors of crytpo-assets.

DeFi and crypto-assets present significant risks for traditional markets

"Both DeFi and crypto-asset activity is taking place in markets generally with lack of the traditional safeguards around market integrity, consumer and investor protection and financial stability.

At the same time, increased interest in, and adoption of, digital assets by traditional financial sector players and institutional investors has been observed, coupled with increased supply of products and services providing access to crypto-asset risk.

Such ‘institutionalisation’ of crypto-assets could merit the attention of policy makers given that part of the activity is happening in a non-compliant manner or outside the perimeter of existing regulatory and supervisory frameworks, exposing participants and the markets to significant risks.

Institutionalisation of crypto-assets and DeFi-TradFi interconnectedness - OECD - May 2022.

2.

The making of something into a convention or norm, either through establishing a practice over time, or by a formal process.

Other resource

• Consumer protection
• Convention
• Court
• Crypto-assets
• Decentralised finance (DeFi)
• Financial stability
• Institution
• Institutional
• Institutional investor
• Institutional Investors Group on Climate Change
• Institutional Money Market Funds Association
• Institutional Shareholder Services
• Investment firm
• Investor protection
• Norm
• Organisation for Economic Co-operation and Development (OECD)
• Regulation
• Supervision
• TradFi

External link

Institutionalisation of crypto-assets and DeFi-TradFi interconnectedness - OECD - May 2022