Eurex move ignites multiple CCP debate

Eurex move ignites multiple CCP debate

A decision by Frankfurt-based exchange Eurex to freeze the marketing of its clearing service for credit default swaps (CDSs) has reignited the debate over the best model for central clearing in the over-the-counter derivatives market – specifically, whether regulators should encourage competition between multiple central counterparties (CCPs) or allow a single CCP to dominate a market.

Eurex Credit Clear will remain operational, but a decision to stop actively looking for new business effectivel