- LCH SA will provide clearing services through LCH DigitalAssetClear for cash-settled Bitcoin index futures and options contracts, traded on UK FCA-regulated digital asset derivatives trading venue, GFO-X.
- ABN AMRO Clearing Bank, Nomura International Plc and Standard Chartered Bank are the first clearing members to join the new service.
- LCH DigitalAssetClear service will provide market participants with access to clearing of digital asset derivatives in a regulated environment.
- Demonstrates LCH SA’s commitment to bringing the benefits of clearing to this growing asset class and expanding its services as a truly international clearing house.
LSEG today announces that LCH SA has launched its new LCH DigitalAssetClear service. LCH DigitalAssetClear will provide market participants with access to the clearing of digital asset derivatives traded on GFO-X, the UK’s first FCA-regulated, centrally-cleared multilateral trading facility (MTF) dedicated to digital asset futures and options. The launch of the service illustrates LCH SA’s diversification into new asset classes and demonstrates the continued expansion of LSEG’s post trade ecosystem. ABN AMRO Clearing Bank, Nomura International Plc and Standard Chartered Bank are the first clearing members offering clearing services to trading participants and market makers on LCH DigitalAssetClear.
LCH DigitalAssetClear has been developed by LCH SA, in close consultation with GFO-X and market participants, to ensure their digital asset derivatives can be cleared through a service that is secure, segregated, highly regulated and focused solely on digital asset derivatives. All cash-settled Bitcoin index futures and options contracts traded on GFO-X will be cleared through LCH DigitalAssetClear using the GFO-X/Coin Metrics Single Asset Real-Time Bitcoin Index (GFOXBR), which is an EU Benchmark Regulation compliant reference rate for the U.S. dollar price of Bitcoin.
Marcus Robinson, Head of DigitalAssetClear and CDSClear, LCH, said: “We are delighted to launch this highly anticipated service from LCH SA. The regulated clearing infrastructure within LSEG’s post trade ecosystem has allowed us to build something meaningful for our participants and address the availability of options for a rapidly growing asset class. It is essential that we find ways to offer regulated, segregated and trusted routes to provide customers with a diverse breadth of services and we are excited to continue working with GFO-X to offer a regulated marketplace for this asset class.”
Arnab Sen, CEO and Co-Founder, GFO-X said: “We are excited to launch our UK regulated, centrally cleared, bitcoin futures and options venue in partnership with LCH SA. The combination of GFO-X’s dedicated digital asset derivatives offering and LCH DigitalAssetClear brings much needed choice and venue diversification to institutional investors. We believe the digital asset derivates market, in particular options, will grow exponentially but requires regulated and counterparty risk mitigation solutions to achieve scale. By integrating LCH DigitalAssetClear, our UK regulated venue brings much needed enhanced risk mitigation to digital asset derivatives.”
Learn more about LCH DigitalAssetClear here: LCH’s Bitcoin Regulated Clearing Solution
To view the announcement in French, please download the PDF.
