United States

Wall Street Clearing House Set to Adopt Bitcoin Technology. DealBook reported that Wall Street clearing house Depository Trust and Clearing Corporation (DTCC) will replace one of its central databases with new software inspired by the virtual currency Bitcoin. DTCC, which plays a part in recording and reporting almost every stock and bond trade in the U.S. in addition to most valuable derivatives trades, will not use Bitcoin’s blockchain. Instead, the company is building something similar to a blockchain, or a “distributed ledger,” which multiple financial institutions can update and view at the same time. Unlike Bitcoin’s blockchain, the DTCC ledger will be open only to invited participants. (1/9/2017)

US banks gearing up to fight Volcker rule. Reuters reported that big US banks are gearing up to get Congress to loosen or completely eliminate Dodd-Frank’s Volcker rule. Lobbyists are reportedly planning to present evidence to Congress that the Volcker rule is actually bad for companies, investors, and the US economy. According to lobbyists, banks are now seeing opportunities to unravel reforms under Trump’s administration and the incoming Republic-led Congress, which seem to be more business-friendly. (1/4/2017)

Canada

Canadian securities regulators seek input on potential impacts of discontinuing embedded commissions. The CSA announced that it has published for a 150-day comment period CSA Consultation Paper 81-408 - Consultation on the Option of Discontinuing Embedded Commissions, which seeks input on the option of discontinuing embedded commissions and the potential impacts of such a change on Canadian investors and market participants. (1/10/2017)

Review of practices firms use to compensate and provide incentives to their representatives. The CSA announced publication of CSA Staff Notice 33-318 Review of Practices Firms Use to Compensate and Provide Incentives to their Representatives, which identifies compensation arrangements and incentive practices that firms use to motivate their representatives’ day-to-day behavior and sets out potential conflicts of interest that could arise, if not properly controlled, from some of these practices. (12/15/2016)