Written by:
Mark E. Ruddy, Esq., Maria Fielding
National Futures Association (“NFA”) Stays Virtual Currency Reporting Requirements
NFA announced on December 14, 2017 that it would require additional reporting requirements from commodity pool operators (“CPOs”) and commodity trading advisors (“CTAs”) who are involved in virtual currency transactions and introducing brokers (“IBs”) who accept orders in virtual currency derivatives. On March 27, 2018, NFA released Notice to Members I-18-07 to inform CPOs, CTAs, and IBs that they are currently not required to file the additional reporting requirements previously announced in December 2017. NFA cautioned, however, that it may contact individual firms for additional information.
The NFA announced the additional reporting requirements for CPOs and CTAs in Notice to Members I-17-28 and the additional reporting requirements for IBs in Notice to Members I-17-29.
NFA Town Hall Webinar
On Monday, April 9, 2018 2:00pm EDT, NFA will host a Town Hall Webinar featuring NFA Public Director Ronald Filler, President and CEO Thomas Sexton, and NFA’s officers. In addition to providing initiative updates, speakers will also answer questions from members which are submitted prior to the webinar. NFA encourages Members to submit questions via email to feedback@nfa.futures.org. Registration for the webinar is free, but required in order to attend. The webinar will also be available on NFA’s website toward the end of April.
NFA Releases Comment Letter Regarding Commodity Futures Trading Commission (“CFTC”) Interpretation
On March 20, 2018, NFA released a comment letter regarding a December 15, 2017 interpretation by the CFTC concerning virtual currency retail commodity transactions. While NFA states in the letter that it supports the interpretation on the whole, NFA asks the CFTC to consider certain aspects of the interpretation. Notably, NFA asks for reconsideration regarding such transactions being treated as futures contracts, reducing the 28-day time period for actual delivery, and clarifying the definition of terms involved in the actual delivery process.
Full details regarding NFA’s comments and concerns can be found in Comment Letter RIN 3038—AE62.
For further information about any of the topics covered, please feel free to contact Ruddy Gregory, PLLC (www.ruddylaw.com) or 202-797-0762.
