Release Number 7958-19

July 8, 2019

CFTC Staff Issues Report Regarding the Swap Dealer De Minimis Exception and On-Venue and Cleared Swaps

Washington, DC – The Commodity Futures Trading Commission’s (CFTC) Division of Swap Dealer and Intermediary Oversight (DSIO) today issued a report that presents data and analysis regarding the swap dealer de minimis exception, with a specific focus regarding on-venue and cleared swaps. 


At the November 5, 2018 CFTC Open Meeting, Chairman J. Christopher Giancarlo asked CFTC staff to continue their analysis of the range of matters raised in the June 2018 swap dealer de minimis exception notice of proposed rulemaking. One of the specific requests was to conduct a study on possible alternative metrics for the calculation of the swap dealer de minimis threshold. 


“Today’s staff report demonstrates DSIO’s commitment to using detailed swap data repository data to develop empirically-driven policy recommendations,” said DSIO Director Matthew Kulkin.  “DSIO believes this staff report will assist the CFTC and market participants analyze the potential implications of certain policy proposals.”


In May 2012, the CFTC and the Securities and Exchange Commission jointly issued an adopting release further defining, among other things, the term “swap dealer” in CFTC regulation 1.3 and providing for a de minimis exception to the swap dealer registration requirements.  The de minimis exception states that a person shall not be deemed to be a swap dealer unless its swap dealing activities exceed an $8 billion aggregate gross notional amount threshold.