Nodal Exchange Converts from Exempt Commerical Market to Fully Regulated Designated Contract Market

The CFTC approved the application of Nodal Exchange, LLC ("Nodal"), previously operating as an exempt commercial market ("ECM"), as a designated contract market ("DCM").In conjunction with the approval of Nodal's designation, the CFTC approved the transfer of contracts and open interest in contracts currently listed on the ECM to the DCM.

Separately, the CFTC Division of Market Oversight also provided no-action relief to Nodal to allow for the simultaneous listing and trading of contracts, on Nodal's first date of operation as a DCM, as Nodal transitions from its operating status as an ECM to a DCM. Clearing services for Nodal will continue to be provided by LCH.Clearnet Ltd ("LCH"). The CFTC Division of Market Oversight and Clearing and Risk also issued no-action relief to Nodal and LCH to permit LCH to continue clearing Nodal contracts until LCH obtains an amended Derivatives Clearing Organization order of registration that would authorize LCH to clear contracts traded on the Nodal DCM.

See: CFTC Press Release; CFTC Letter to Nodal Approving It as a DCM; Nodal DCM Order; CFTC Letter to Nodal Transferring Open Interests as ECM to DCM; Nodal Transfer of Open Interest Order; CFTC No-Action Letter 13-53; CFTC No-Action Letter 13-54.