CFTC Issues No-Action Letter on Event Contract Data Reporting

On May 14, the U.S. Commodity Futures Trading Commission (CFTC) Market Oversight and Clearing and Risk Divisions issued a ‘No-Action Letter’ providing regulatory relief regarding data reporting and record-keeping requirements for event contracts. According to the statement, CFTC staff will not recommend enforcement action against designated contract markets (DCM), derivatives clearing organizations (DCO), or their participants, even if they fail to comply with certain record-keeping requirements related to swap transactions or do not report full collateral event contract transaction data to swap data repositories. The CFTC stated that this decision responds to requests from multiple exchanges and clearing organizations that list and clear event contracts. The regulatory body anticipates receiving similar applications in the future, including new requests due to changes in DCM licenses or adjustments in DCOs. Furthermore, the CFTC noted that entities looking to launch or clear similar event contracts in the future could apply for the same ‘No-Action’ relief. The regulatory agency believes this move will streamline the approval process and ensure consistent treatment for market participants.

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
Add a comment
Add a comment
No comments
  • Pinned