Comply with Market Abuse Regulation as per MiFID & MiCAR in 2026

1. What does MAR compliance mean under MiFID II?

Investment firms authorised under MiFID II are subject to the requirements of MAR and must maintain appropriate arrangements to prevent, identify, and report potential market abuse. 

Key prohibitions include: 

• Insider dealing: Trading in financial instruments while in possession of inside information. 
• Unlawful disclosure: Improperly communicating inside information outside the normal exercise of employment, profession or duties. 
• Market manipulation: Engaging in practices that create false or misleading signals regarding the supply, demand or price of financial instruments. 

Firms are also expected to maintain effective systems and controls for identifying suspicious transactions and orders and, where required, submit Suspicious Transaction and Order Reports (STORs) to CySEC without undue delay. 

MAR may apply beyond MiFID II investment firms, including to other market participants such as asset managers, proprietary traders and non-financial entities when dealing in financial instruments falling within its scope. 

2. What are some examples of market manipulation? 

MAR and the relevant regulatory framework identify a range of practices that may constitute market manipulation, including: 

• Wash trades and matched orders, which may create an artificial impression of trading activity. 
• Pump-and-dump and trash-and-cash schemes, where misleading information is used to artificially increase or reduce the price of an asset. 
• Layering and spoofing, involving the placement and subsequent cancellation of orders in a manner intended to create misleading market signals. 
• Dissemination of false or misleading information, including through traditional media, websites, or online platforms. 

Historical enforcement cases, including the LIBOR benchmark manipulation cases, demonstrate the significant regulatory and financial consequences that can arise where market integrity is compromised. 

3. How does MiCAR address market abuse in crypto-assets?

MiCAR, which became fully applicable on 30 December 2024, introduced a dedicated market abuse framework for crypto-assets admitted to trading or in respect of which a request for admission to trading has been made. 

Key provisions include: 

• Article 87: Definition of inside information specific to crypto-assets. 
• Article 88: Obligation on issuers and offerors to disclose inside information promptly and maintain public access for at least five years.  
• Article 89: Prohibition of insider dealing in crypto-assets, including the use of confidential order information.  
• Article 90: Prohibition of unlawful disclosure of inside information.  
• Article 91: Prohibition of market manipulation, covering deceptive practices, false information dissemination, and unfair trading conditions. 
• Article 92: Requirement for crypto-asset service providers to establish systems for prevention, detection, and reporting of market abuse. 

These requirements bring crypto-asset markets closer to the market integrity standards already applicable across traditional financial markets. 

4. What powers does CySEC have in supervision and enforcement? 

As the competent authority in Cyprus, the Cyprus Securities and Exchange Commission (CySEC) is responsible for supervising compliance with applicable MAR and MiCAR requirements. 

Its supervisory and enforcement powers may include: 

• Requesting access to documents, records, and trading data. 
• Carrying out on-site inspections and investigations. 
• Requiring the suspension of trading or other relevant activities where legally permitted. 
• Taking enforcement measures, including administrative fines, public statements, and restrictions on individuals. 

Depending on the applicable legal provision and the nature of the infringement, significant administrative sanctions may be imposed on both natural and legal persons. 

CySEC continues to place importance on effective market surveillance, timely identification and reporting of suspicious activity, and the adequacy of firms’ internal systems and controls. 

5. How can SALVUS assist you?

At SALVUS, we support regulated entities in strengthening their market abuse compliance frameworks and meeting applicable regulatory expectations. 

Our support includes: 

• Assisting with the preparation and completion of Suspicious Transaction and Order Reports (STORs). 

• Developing and reviewing internal policies, procedures and training materials aligned with MAR and MiCAR requirements. 

• Providing ongoing compliance support in connection with CySEC inspections and supervisory reviews. 

Our aim is to help firms maintain effective and proportionate arrangements under MiFID II and MiCAR, while supporting sound governance, market integrity, and regulatory readiness. 

In collaboration with the Institute for Professional Excellence (IforPE), SALVUS also offers the self-study CPD course “Comply with Market Abuse Regulation as per MiFID and MiCAR in 2026.” The course covers key MAR concepts, including insider dealing, disclosure of inside information, market manipulation, accepted market practices, and STOR submissions. 

Designed for professionals across CIFs and other CySEC-regulated entities, the course offers practical learning while supporting annual CPD requirements. 

If you require further regulatory guidance or are interested in the IforPE course, reach out to us at info@salvusfunds.com. Our team is ready to support you. 

#StayAhead 

The information provided in this article is for general information purposes only. You should always seek professional advice suitable for your needs.