US CFTC Proposes Amendments to Multiple Regulatory Rules to Strengthen Conflict of Interest Management for Affiliated Entities

Odaily Planet Daily News The U.S. Commodity Futures Trading Commission (CFTC) has issued a Notice of Proposed Rulemaking (NPRM), seeking public comment on amendments to Parts 37, 38, and 39 of the CFTC Regulations, as well as Rules 1.52 and 1.55. The comment period will be open for 60 days following publication in the Federal Register. The amendments aim to address potential conflicts of interest arising from the increasing interconnectedness among regulated entities such as derivatives clearing organizations (DCOs), designated contract markets (DCMs), swap execution facilities (SEFs), futures commission merchants (FCMs), and market makers. CFTC Chairman Michael S. Selig stated that the new rules will establish a principles-based regulatory framework for vertically integrated market structures, supporting innovation in the U.S. derivatives market while maintaining market integrity.