Cryptocurrencies
FTX Seeks U.S. Blessing for Clearing Margin-Based Retail Trades
- Clients would need to meet initial margin requirements
- Margin levels would be recalculated every 30 seconds by FTX
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Crypto trading giant FTX’s U.S. unit wants to begin clearing leveraged derivatives trades for mom-and-pop investors.
The exchange doesn’t use intermediary brokerages as most firms do to limit the impact from any possible defaults. Now, FTX’s LedgerX, the division that’s registered with the U.S. Commodity Futures Trading Commission, is seeking permission from the regulator to apply its “non-intermediated” clearing model to retail trading in margined products.