In remarks on Treasury market structure, U.S. Securities and Exchange Commission Commissioner Mark T. Uyeda provided an update on implementation of the SEC’s Treasury Clearing Rules, which require expanded central clearing for specified secondary-market U.S. Treasury cash and repo activity. The SEC is seeking to remove regulatory ambiguity and operational frictions, building on its earlier extension of compliance dates to December 31, 2026 for cash transactions and June 30, 2027 for repo transactions, and indicating that further guidance, exemptive relief, or rule amendments may be used where appropriate. The rules require covered clearing agencies to adopt policies and procedures designed to ensure that members submit for clearing covered repo transactions (including repos and reverse repos collateralized by U.S. Treasuries, subject to stated exclusions) and specified purchase and sale transactions involving interdealer brokers and transactions between a clearing agency member and certain registered market intermediaries. Transactions with central banks (including the Federal Reserve and the Bank for International Settlements), sovereign entities, international financial institutions, and natural persons are excluded from scope. Staff work to date has included guidance or feedback on broker-dealer customer protection requirements, application to triparty repo transactions, and accounting for agent clearing members; remaining issues highlighted include whether and how to expand the inter-affiliate exemption, clarification of the rules’ extraterritorial application for non-U.S. firms, and several cost and operational topics such as “double margining” for registered funds, customer-level cross-margining, treatment of failed trades or clearing outages, and gross versus net margin alternatives for segregated customer accounts under Exchange Act Rule 15c3-3a. The SEC is also considering clearing agency registration applications from CME Securities Clearing Inc. and ICE Clear Credit LLC. Further work on jurisdictional questions and the pending clearing agency applications is expected to progress once the SEC returns to full operations following the government shutdown, and the SEC has launched a dedicated Treasury Clearing implementation webpage that it will update as additional actions and staff guidance are issued.
U.S. Securities & Exchange Commission 2025-11-12
U.S. Securities and Exchange Commission updates Treasury Clearing Rules implementation and weighs changes to inter-affiliate and cross-border scope ahead of 2026 and 2027 deadlines
SEC Commissioner Mark T. Uyeda updated on implementing the SEC’s Treasury Clearing Rules, mandating expanded central clearing for certain U.S. Treasury cash and repo activities. Compliance dates are extended to December 31, 2026, for cash transactions and June 30, 2027, for repo transactions. The SEC is reviewing clearing agency registration applications and launched a Treasury Clearing implementation webpage for updates.