Federal Register: CFTC Proposes Cross-Border DCO Rule Changes

A CFTC supplemental rule proposal was published in the Federal Register which would permit low-risk derivatives clearing organizations ("DCOs") that are exempt from registration to offer clearing to U.S. persons under certain circumstances (see prior coverage). The CFTC also proposed allowing persons located outside of the U.S. to - without registering as futures commission merchants - accept funds from U.S. persons to margin swaps cleared at an exempt DCO.

Comments must be submitted by September 23, 2019.