Are There Regulatory Requirements for the Transparency of Insurance Funds?
While the cryptocurrency derivatives market is not uniformly regulated globally, reputable exchanges often voluntarily publish the size of their insurance fund to build user trust. Regulatory bodies in jurisdictions with clearer frameworks, such as the CFTC for traditional futures, often mandate strict segregation and reporting requirements for customer funds and risk-mitigation pools.
As crypto regulation evolves, formal transparency requirements for these funds are becoming more common.