CFTC order permits Eurex to operate MCO for any OTC derivatives

The CFTC issued an order stating that the supervision of Eurex clearing activities provided by BaFin, in conjunction with the German central bank satisfies appropriate standards, thus permitting Eurex to operate a multilateral clearing organization in the US. Section 408(1) of FDICIA (12 U.S.C. 4421(1)) defines MCO to  mean “a system utilized by more than [two] participants in which  the bilateral credit exposures of participants arising from the  transactions cleared are effectively eliminated and replaced by a  system of guarantees, insurance, or mutualized risk of loss.”

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Stay On Top Of The Debt Relief Industry's Regulatory Landscape

On November 6-7, 2022, Shipkevich PLLC will be hosting a Regulatory Workshop in Costa Mesa, California focusing on the fundamental regulatory issues facing debt relief professionals and how they can adapt.