Broadridge Financial Solutions announced the launch of ClearFi, a new suite of products to help financial intermediaries operating within the digital asset space to get out ahead of current and emerging disclosure regulations.
It 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, stable coins, and DeFi innovations made available through their platforms.
“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, Broadridge’s chief digital officer, in a statement. “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.”
Results from Broadridge’s Digital Asset Disclosure Survey 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. Additionally, client conversations highlighted a clear need for a broad agreement to provide investors with standardized and tailored information to address needs that evolving regulatory frameworks are looking to address.
ClearFi consolidates and aggregates both on-and off-chain information and content to provide an overview of the digital asset, including information on the underlying technology, tokenomics, governance, and purpose. The information provided is updated in near real-time. Because there isn’t an “issuer” in the traditional sense of the work 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 standardized taxonomy enabling intermediaries including exchanges, brokers and asset managers to provide insight into the assets available on their platforms. This first of its kind standardized taxonomy for digital assets was built to help foster greater literacy while enabling individuals to evaluate, compare and educate themselves on assets. ClearFi data can also be used by intermediaries to address emerging global regulations, including Canadian and UK know-your-product rules and MiCA Whitepaper reporting requirements.
“The introduction of ClearFi demonstrates Broadridge’s continued leadership and innovation in improving disclosure as investing democratizes across economies,” said German Soto Sanchez, Broadridge’s chief product and strategy officer, in a statement.
ClearFi was developed within Broadridge’s innovation lab, 605 Studios, which focuses on identifying and developing cutting-edge technologies, products, and businesses that drive financial services forward in support of capital markets and clients.