Industry body clarifies what happens when crypto derivatives crash

LONDON : An industry body set out a global framework on Thursday for trading derivatives linked to cryptoassets to avoid FTX-style collapses sowing confusion over ownership.

While most of the recent problems have occurred in the spot cryptocurrency market, many of the legal uncertainties could affect digital asset derivatives too. It will now include the body's first standard documentation for trading digital asset derivatives, initially covering non-deliverable forwards and options on Bitcoin and Ether.

The framework sets out the rights and obligations of both sides to a derivatives trade following market disruption, and ISDA also published discussion papers exploring legal questions raised by the bankruptcy of FTX.

Australia Australia Latest News, Australia Australia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

US Treasury, financial watchdogs, companies among FTX creditors, filing showsZURICH/LONDON: Financial watchdogs and government agencies from the United States, Japan and Switzerland are among creditors of bankrupt crypto exchange FTX, as well as companies including Airbnb and crypto giant Binance, a court filing has shown. FTX, once among the world's top crypto exchanges, shook the Duh. They all in it together, obviously. MoneyLaunderClub
Source: ChannelNewsAsia - 🏆 6. / 66 Read more »

China’s embattled film industry on track for recoveryAnalysts predict that ticket sales during the Chinese New Year break will hit at least 8 billion yuan (S$1.5 billion). Read more at straitstimes.com.
Source: STForeignDesk - 🏆 4. / 71 Read more »