How does pari passu apply to the distribution of digital assets in the cryptocurrency market?

3 answers

• Mar 23, 2022 · 3 years ago
  Pari passu is a Latin term that means 'on equal footing.' In the context of the cryptocurrency market, it refers to the principle that all investors or holders of digital assets should have equal rights and treatment. This means that if a cryptocurrency exchange becomes insolvent, the assets should be distributed among the investors on a pro-rata basis, without any preference or priority given to certain investors. Pari passu ensures fairness and prevents any discrimination in the distribution process.
  507254
• Mar 23, 2022 · 3 years ago
  When it comes to the distribution of digital assets in the cryptocurrency market, pari passu ensures that all investors are treated equally. This means that if a cryptocurrency exchange goes bankrupt, the assets will be distributed among the investors in proportion to their holdings. So, if you have a larger investment, you'll receive a larger share of the assets. It's a way to ensure fairness and prevent any favoritism or preferential treatment.
  450150
• Mar 23, 2022 · 3 years ago
  Pari passu is an important concept in the cryptocurrency market, as it ensures that all investors have equal rights and treatment in the distribution of digital assets. At BYDFi, we prioritize the fair distribution of assets among our investors, following the principle of pari passu. This means that in case of insolvency, the assets will be distributed among the investors on an equal footing, without any preference or priority given to certain investors. We believe in maintaining transparency and fairness in all our operations.
  533134