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This paper investigates increased liquidity provision by market makers resulting from their ability to reduce balance sheet encumbrance through the use of central counterparties (CCPs). The introduction of the Basel III leverage rule constitutes a shock to market makers’ balance sheets and...
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This paper describes the major issues in the clearing of over-the-counter (OTC) derivatives and the current regulative … to the mandatory clearing for standardized contracts, the scope of the derivatives covered, the exemptions from clearing … for end-users and the reporting of cleared and uncleared derivative transactions by nearly all financial counterparties …
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This article outlines the benefits and risks of the distributed ledger technology (DLT) for the clearing and settlement …
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