Key Highlights:

• The Gibraltar government is introducing a pioneering regulatory framework aimed at the clearing and settlement of crypto derivatives.
• This initiative is being developed in collaboration with the crypto exchange Bullish, which will facilitate the management of virtual asset derivative contracts through a recognized clearing house.
• The role of clearing houses is crucial as they mitigate counterparty risks in trading.

In an effort to bolster market integrity and minimize major risks, the Gibraltar government has announced plans to roll out the world’s first set of regulations governing the clearing and settlement of crypto derivatives. This new framework, designed in partnership with the Gibraltar Financial Services Commission (GFSC) and Bullish, aims to adapt conventional financial clearing regulations to the needs of the virtual asset market.

The evolving regulatory landscape will empower a recognized clearing house to handle derivative contracts derived from virtual assets.

Bullish remarked on Tuesday that these proposed regulations would enhance transparency and financial robustness within the clearing houses.

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