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CFTC Announces A Roundtable On Disintermediation After FTX’s Proposal


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The Commodity Futures Trading Commission has announced a roundtable discussion on May 25 to deliberate on a ‘non-intermediated’ model of crypto derivatives trading. This announcement was sparked by FTX US’s recent proposal to modify its Derivatives Clearing Organisation (DCO) license.

Under the proposed ‘non-intermediated’ model, the current Futures Commission Merchant (FCM) intermediary would be eliminated, which would streamline trading by reducing the number of times assets change hands, each layer of which entails separate requirements for liquidity holding.

According to the CFTC,

“A number of registered entities have discussed with CFTC staff proposals to offer ‘non-intermediated’ or direct trading and clearing of margined products to retail customers.”

https://www.coindesk.com/policy/2022/04/27/cftc-sets-may-roundtable-to-weigh-ideas-sparked-by-ftxs-derivatives-push/

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