American-based Goldman Sachs, the second largest investment bank, came up with an innovative idea that will classify the crypto assets and tokens on the platform. The partnership between MSCI and Coin Metrics is going to introduce a new theme called “Datonomy” that will help to increase transparency in the digital asset ecosystem.
It is designed to provide “a consistent, standardized way to help market participants view and analyze the digital asset ecosystem, creating an increased level of transparency.” This new theme will help to monitor the crypto asset market trends to analyze the upcoming risks.
MSCI had 50 years of experience in research, data, and technology. On the other hand, Coin Metrics organizes the world’s crypto data to make it more transparent and accessible. This great collaboration will help in the growth of the new invention, “Datonomy.”
“This is the next phase of getting the underpinnings of the industry lined up so that everybody can embrace it and we can figure out what the next directional move in the market is.”
How Will Datonomy function?
To overcome the cyber risks, the crypto assets are basically classified into three types of categories: class, sector, and sub-sector. Mainly, Datonomy will work on three principles: the class level mainly focuses on assets at the fundamental level. The sector level separates assets based on high level specializations, and finally the sub-sector level delineates the assets within the sector level.
What Makes Datonomy Popular?
- The experienced industry leading firms are involved both in crypto assets and financial markets. That helps to create a separate classification system for the crypto market.
- A standardized view of the crypto market will help in tracking the major firms that are related to digital assets.
- There will be a separate device to understand the digital assets and their trends in the market.
- The crypto assets are classified into three parts are class, sector and su-sector to overcome the cyber risks.
Who Will Be The Regulator Of Datonomy?
The owner and administrator of this new classification system was MSCI. So MSCI has the authority to make certain regulations and changes on the Datonomy Advisory Board. The Advisory Board has representatives from Goldman Sachs, MSCI, and Coin Metrics, as well as third party members that can provide expertise on maintaining datonomy.
Source: https://www.thecoinrepublic.com/2022/11/05/a-new-classification-system-to-expand-crypto-world-by-goldman-sachs/