News & Analysis as of

Futures Derivatives Commodities Futures Trading Commission

WilmerHale

Strategic Considerations for Transactions Involving CFTC-Registered Entities

WilmerHale on

With the Presidential and Congressional transitions taking place this month, we expect increased investment and transactional activity in capital markets. This will likely include trading platforms, exchanges, clearinghouses,...more

Morgan Lewis

CFTC Adopts Amendments to Permissible Customer Funds Investments by FCMs and DCOs

Morgan Lewis on

The Commodity Futures Trading Commission recently published a final rule amending the list of permissible investments for customer funds by futures commission merchants and derivatives clearing organizations....more

Katten Muchin Rosenman LLP

The CFTC Codifies the Letter 19-17 Compliance Processes Around Separately Margined Accounts

In 2014, the Joint Audit Committee issued a Regulatory Alert insisting that futures commission merchant (FCM) clearing members treat separate accounts of the same beneficial owner as a single account for purposes of US...more

Holland & Knight LLP

Commodity Futures Trading Commission Finalizes Voluntary Carbon Market Standards

Holland & Knight LLP on

The Commodity Futures Trading Commission (CFTC) on Sept. 20, 2024, finalized guidance (the Final Guidance) regarding the listing of voluntary carbon credit (VCC) derivatives on CFTC‑regulated exchanges. The CFTC previously...more

Katten Muchin Rosenman LLP

Funds NOT Immediately Available: Actions FCMs Should Take to Protect Customer Funds Deposited at Distressed Banks

As US interest rates rose in 2022, the value of bank investments in long-dated and fixed-rate bonds declined. These declines were substantial enough to render many banks economically insolvent. Depositors not inclined to...more

Goodwin

National Futures Association to Expand Compliance Rulebook to Address Member Activities in Spot Digital Asset Commodities

Goodwin on

On February 28, 2023, the National Futures Association (NFA), the self-regulatory organization for U.S. derivatives market participants, submitted to the Commodity Futures Trading Commission (CFTC) for approval a new...more

Cadwalader, Wickersham & Taft LLP

SVB and Signature Bank Resolution – CFTC-Related Implications

Many of the transactions involving qualified financial contracts (“QFC”) with Silicon Valley Bank (“SVB”) and Signature Bank constitute Commodity Futures Trading Commission (“CFTC”) jurisdictional transactions that may be...more

Jones Day

Derivatives Markets Under Sanction and Pandemic Pressure: How to Respond

Jones Day on

Russia's invasion of Ukraine has disrupted the supply of many commodities. Prices of a number of commodities increased substantially from December 2021 to March 2022: crude oil prices and wheat prices increased by more than...more

Cadwalader, Wickersham & Taft LLP

CFTC Considers FTX’s Democratized Clearing Proposal

On May 25, 2022, the U.S. Commodity Futures Trading Commission (“CFTC”) conducted a public hearing to consider a request from LedgerX, LLC, d.b.a. FTX US Derivatives (“FTX”), to amend its order of registration as a...more

Faegre Drinker Biddle & Reath LLP

Ubiquitous Use of WhatsApp and Other Unrecorded Internal Communications Result in Substantial Penalties in Recent SEC, CFTC...

The SEC has, for many years, used broker-dealer and associated persons’ failure to create and maintain books and records as a basis for the imposition of serious penalties. In recent actions, it appears to be continuing—and...more

Katten Muchin Rosenman LLP

Key Takeaways: CFTC's FY 2021 Swap Dealers Enforcement Actions

In Fiscal Year 2021 (FY 2021), the Commodity Futures Trading Commission (CFTC) brought and settled five enforcement actions against swap dealers for alleged reporting, disclosures and supervision failures. Historically, the...more

Jones Day

The Long Arm of the CFTC: What Stakeholders in Brazil and Latin America Should Know

Jones Day on

Established in 1974 in Washington, D.C., the CFTC was originally responsible for overseeing and regulating the commodity futures and options markets in the United States. Initially, its primary focus was to regulate trading...more

Faegre Drinker Biddle & Reath LLP

A Proposal to the CFTC for a New Way for “Bets” to Be Hedged

Perhaps it is in the spirit of March Madness and bracketology, but the Commodity Futures Trading Commission (CFTC or Commission) recently acknowledged consideration of a proposal by a sports gambling company to allow...more

Morgan Lewis - Power & Pipes

CFTC Releases Interim Report into April WTI Futures Price Collapse; Commissioner Berkovitz Issues Scathing Critique

The Commodity Futures Trading Commission (CFTC) recently issued an interim report by CFTC Staff on the April 2020 price collapse of the West Texas Intermediate light sweet crude oil futures contract (WTI Futures Contract)....more

Faegre Drinker Biddle & Reath LLP

CFTC Continues Efforts to Increase Enforcement Transparency – Issues New Guidance on Evaluating Corporate Compliance Program

On September 10, 2020, the CFTC announced the issuance of new, public, guidance to its enforcement staff on evaluating the adequacy of corporate compliance programs. The new guidance provides enforcement staff a framework...more

Latham & Watkins LLP

A CFTC Helping Hand: DSIO Offers to Review Digital Asset Products

Latham & Watkins LLP on

Product innovation (including in pooled investment vehicles) is encouraged, but innovation must be consistent with the law. The US Commodity Futures Trading Commission’s (CFTC’s) Division of Swap Dealer and Intermediary...more

Latham & Watkins LLP

The Yellow Brick Road for Consumer Tokens: The Path to SEC and CFTC Compliance - An Update

Latham & Watkins LLP on

Developing a framework for consumer tokens - With the rapid growth in the development of blockchain technology, virtual currencies and token sales (sometimes referred to as initial coin offerings, or ICOs), token...more

A&O Shearman

Commodity Futures Trading Commission Discusses Approach to Virtual Currency Futures Markets

A&O Shearman on

The Commodity Futures Trading Commission has released a backgrounder on the federal oversight of virtual currencies and its approach to regulating the virtual currency derivatives markets. Because virtual currencies have been...more

Skadden, Arps, Slate, Meagher & Flom LLP

"CFTC Seeks Public Input on Decreasing Burdens of Existing Rules"

On May 3, 2017, the Commodity Futures Trading Commission (CFTC) voted to seek public input on simplifying and modernizing the agency’s rules (Project KISS, 82 Fed. Reg. 21494 (May 9, 2017)). CFTC Acting Chairman J....more

Katten Muchin Rosenman LLP

CFTC Announces Agenda For Upcoming Market Risk Advisory Committee Meeting

The Commodity Futures Trading Commission’s Market Risk Advisory Committee (MRAC) announced its agenda for its upcoming meeting on June 2. MRAC will discuss: (1) the Bank of England’s CBEST Program and its impact on addressing...more

Burr & Forman

Dodd-Frank News: May 2014: Dodd-Frank Wall Street Reform and Consumer Protection Act Update

Burr & Forman on

In This Issue: - RECENT CASES ..Preemption ..CFPB Involvement in Litigation ..CFTC Regulation of Retail Commodity Transactions ..Durbin Amendment ..Appraiser Disclosure Requirements Under...more

Stinson - Corporate & Securities Law Blog

CFTC Re-Proposes Position Limits On Physical Commodity Derivatives

Yesterday, the CFTC voted to approve a new position limits rule that resembles the agency’s previous short-lived rule (vacated and now abandoned after court challenge), albeit with certain significant changes. ...more

Orrick - Finance 20/20

CFTC Proposal for Enhanced FCM and DCO Protections

Orrick - Finance 20/20 on

On October 23, the CFTC proposed new regulations and amendments to existing regulations to enhance protections for customers and to strengthen safeguards for the holding of money, securities, and other property deposited by...more

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