A person that operates a facility on which multiple participants can trade swaps with multiple counterparties must register either as a swap execution facility (SEF) or as a DCM1. The designation as a contract market is made by the US Commodity Futures Trading Commission (CFTC) under the Commodity Exchange Act (CEA) and Part 382.

Section 2(h)(8) of the CEA requires trades in swaps subject to the clearing requirement to be executed on a DCM or a SEF3.

Notes

  1. 17 CFR § 37.3(a)(1) (eCFR, as of October 1, 2026). ↩

  2. 17 CFR § 1.3, "Contract market; designated contract market" (eCFR, as of October 1, 2026). ↩

  3. 7 U.S.C. § 2(h)(8)(A)(i) and (ii). ↩