CFTC Approves Cboe Clear Digital, LLC to Clear Margined Digital Asset Futures

The U.S. Commodity Futures Trading Commission (CFTC) has published a press statement to announce that it has given its approval for Cboe Clear Digital, LLC to expand its services as a derivatives clearing organization (DCO) under the Commodity Exchange Act. In its corresponding Amendment Order, the CFTC states that Cboe Clear Digital, LLC will be permitted to „provide clearing services for digital asset futures on a margined basis for futures commission merchants“. Previously, the company was authorized to clear fully collateralized futures and fully collateralized swaps.
The approval is subject to certain conditions relating to the separate account treatment of clearing members‘ funds, to the maintenance of an insurance coverage for lost or stolen digital assets, the disclosure of material risk in relation to clearing digital assets, and certain audit, control, and anti-money laundering requirements.