DTCC Outlines Path to Implementing Central Clearing across U.S. Treasury Transactions

The Depository Trust & Clearing Corporation (DTCC) issued a new white paper, “Making the U.S. Treasury Market Safer for All Participants: How FICC’s Open Access Model Promotes Central Clearing,” that explores how to advance central clearing around U.S. Treasury transactions. The latest paper from DTCC’s subsidiary, Fixed Income Clearing Corporation (FICC), describes how FICC’s long-standing “open-access” approach provides the flexibility necessary to allow a wide variety of market participants to access central clearing, while also ensuring impartiality and fairness. It also compares and contrasts key differences between the cleared U.S Treasury market and the cleared swaps market, as well as important considerations for implementing a possible clearing mandate.