The Commodity Futures Trading Commission has issued an order of exemption from registration as a derivatives clearing organization (DCO) to ASX Clear (Futures) Pty Limited (ASX).
This is the first order that the CFTC has issued under Section 5b(h) of the Commodity Exchange Act, which permits the CFTC to exempt a clearing organization from DCO registration requirements if there is comparable, comprehensive supervision in the clearing organization’s home country.
Subject to the terms and conditions of the order, ASX is now permitted to clear proprietary swap positions for US clearing members.
Concurrently, the CFTC has requested public comment on a petition by Korea Exchange, Inc. (KRX) for exemption from registration as a DCO under section 5b(h). Comments in the KRX petition must be submitted on or before September 1.
More information on the ASX order is available here.
More information on the KRX petition is available here.