October 17, 2013
CFTC’s Division of Market Oversight Provides Time-Limited No-Action Relief to GTX SEF LLC
Washington, DC — The Commodity Futures Trading Commission’s (Commission or CFTC) Division of Market Oversight (DMO) today announced the issuance of a no-action letter providing time-limited relief for GTX SEF LLC (GTX). DMO will not recommend that the Commission take enforcement action against GTX SEF for failure to register as a swap execution facility (SEF) under Section 5h(a)(1) of the Commodity Exchange Act (Act) or Commission Regulation 37.3(a)(1), or against any market participants for use of, or other relationships with, GTX SEF, based on GTX SEF’s failure to register as a SEF.
GTX SEF currently operates a U.S.-based multilateral trading platform which brings together multiple third-party buying and selling interests in various foreign exchange products, including non-deliverable foreign exchange forwards.
On September 30, 2013, GTX SEF submitted to the Commission, pursuant to Commission Regulation 37.3(b), an application for SEF registration. By letter dated October 1, 2013, GTX SEF requested that DMO not recommend that the Commission take enforcement action against GTX SEF for failure to register as a SEF. As part of its request, GTX SEF represented that it would, during the pendency of its no-action relief: (1) comply with all of the substantive requirements applicable to SEFs under the Commodity Exchange Act and the Commission’s regulations, and (2) comply with any CFTC staff-issued guidance or no-action relief applicable to SEFs issued on or after September 26, 2013.
This no-action relief will commence on October 17, 2013 and expire upon the earlier of: (1) the date that the Commission grants or denies temporary SEF Registration to GTX SEF, or (2) November 19, 2013 at 12:01 am EST.
Last Updated: October 17, 2013