TFX is advancing its preparations toward the launch of a new market that clears OTC FX brokers’ cover transactions (FX Clearing Market). Related rules and regulations for the market have been approved by the FSA, and TFX aims to launch the market in May 2021.
Given the global tendency toward tightening management for settlement risk, FX Clearing Market is to apply the CCP system to the cover transactions of the world's biggest FX market (i.e: Japan). It is expected that TFX’s new FX Clearing Market will contribute to stabilizing and further expanding the FX market by reducing OTC FX brokers’ settlement risk and preventing systemic risk.