Legal Guidelines for Smart Derivatives Contracts: Foreign Exchange (FX) Derivatives

ISDA has published the seventh in a series of legal guidelines for smart derivatives contracts, intended to support technology developers, lawyers and other key stakeholders in the development of smart derivatives contracts and other technology solutions in the foreign exchange (FX) market. These guidelines:

  • Provide high level background on the FX market;
  • Identify opportunities for the potential application of smart contract technology to FX;
  • Highlight important issues for technology developers to consider when designing technology-enabled solutions for trading and processing FX and associated processes.

While the intention of this paper is not to specify or recommend any particular approach or to address any particular technological application or project, these guidelines seek to ensure that the design and implementation of new technology solutions are consistent with existing legal and regulatory standards. These guidelines also highlight areas where further industry collaboration will be required to identify existing areas of legal and regulatory uncertainty and to develop solutions.

Click on the attached PDF to read the paper.

You can access all of ISDA’s papers on smart contracts here.

Documents (1) for Legal Guidelines for Smart Derivatives Contracts: Foreign Exchange (FX) Derivatives

Refreshing the FX Definitions

A lot has changed in the FX derivatives market since 1998, when the last set of standard definitions for FX transactions were published. Trading volumes have grown substantially, and average daily turnover has risen by six times. Market practices have...

ISDA & EMTA Publish New FX Definitions

ISDA and EMTA, Inc., the trade association for emerging markets, have jointly published a revised set of standard definitions for foreign exchange (FX) derivatives transactions, which update key market practices and consolidate various FX and FX-related product templates and provisions...

ISDA Position Paper on SFDR Review

On February 27, ISDA and the Association for Financial Markets in Europe (AFME) published a position paper on the European Commission’s (EC) proposed revisions to the Sustainable Finance Disclosure Regulation (SFDR 2.0). The paper welcomes the EC’s proposal as a...