The Vietnam State Securities Commission held a workshop to gather feedback on draft circulars that would replace the current rules on securities registration, depository, clearing and settlement, and separately the rules governing electronic transactions in the securities market. The overhaul is intended to resolve implementation issues in the existing frameworks, provide a fuller legal basis for market operations and align procedures with the rollout of the new KRX information technology system. It also reflects the commission’s push to update the regulatory framework in support of securities market upgrading and development. The commission said the existing clearing and settlement framework, in force for more than five years and already amended several times, needs further revision to standardize operational processes for registration, depository, clearing and settlement. The electronic trading framework, in force for more than eight years, is also being reviewed to reflect the market’s shift toward digital processes and wider use of technologies including electronic identification, biometric authentication and application programming interfaces. At the workshop, the commission presented both draft circulars, while the Vietnam Securities Depository and Clearing Corporation outlined the central counterparty mechanism. Market participants focused their questions on collateral assets, entities subject to margining, CCP implementation, trading codes and biometric authentication. The commission said it will continue reviewing and incorporating feedback from market participants to finalize the draft circulars.

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