trueDigital is Looking to Open A CFTC-Regulated Exchange

By Prashant Jha

trueDigital Holdings LLC, a financial technology company based out of New York is reportedly planning to get registrations for a trueEX LLC in an attempt to launch a completely adherent and regulated cryptocurrency derivatives exchange. The company stated the same in a recent press release published on the 12th July.

According to the press release:

“trueDigital plans to launch a fully-regulated cryptocurrency derivatives exchange with these CFTC registrations. The proposed exchange will list trueDigital’s Bitcoin physically deliverable swaps, which have been self-certified with the CFTC. trueDigital also plans to list additional derivative instruments over time. The acquisition builds on trueDigital’s strategy to build and deliver institutional-grade digital asset products.”

According to the press release, the company has inked an agreement in principle to acquire two registrations of the US Commodity Futures Trading Commission (CFTC)- namely, the Designated Contract Market (DCM) and Swaps Execution Facility. This deal, to create a regulated exchange by the name of trueEX LLC, is yet to be approved by the CFTC itself.

If the plan is approved, trueDigital will start a new crypto derivatives exchange that is completely regulated by the CFTC. This exchange will list Bitcoin derivatives that are physically deliverable to institutional investors.

Thomas Kim, trueDigital CEO said: “This acquisition reflects our goal to be the trusted choice for any institution that wants to trade novel digital asset derivative products through sophisticated infrastructure delivering the same regulatory framework that market participants require of any other asset class. A trueDigital owned and operated regulated exchange is the natural step in our evolution toward achieving our goals. Adding the exchange to our ecosystem delivers a complete end-to-end offering, currently unavailable today, that encompasses tokenization, payments, market data and settlement for the benefit of our clients and partners.”