Commodity Futures Trading Commission from the United States and three Canadian provincial regulatory bodies signed an agreement on mutual help on following regulated and unregulated entities in financial markets. According to the Memoranda of Understanding, two countries will cooperate ever more than they did till know.
CFTC’s chairman Timothy Massad explained how this agreement is an expansion of the previous one, signed with Ontario, Quebec, Alberta in British Columbia. This time the agreement is signed with the following provinces: New Brunswick, Saskatchewan, and Nova Scotia.
Memoranda will help both countries in a specific way:
“Cross-border information sharing among market authorities plays an integral role in the effective surveillance of global markets that are linked by products, participants, and technology.”
Memoranda is including following markets, trading platforms, central counterparties, trade repositories, intermediaries, dealers and other participants.
Read full Memoranda of Understanding.
This Memoranda can be considered a great turning point, as collaborations among regulatory bodies are becoming more and more frequent. Binary options are a global trend at it was a question of time when will regulatory bodies take them seriously. It is also important to note that there are some major differences among US and Canadian regulation.
In Canada, binary trading is regulated the on the provincial level, while CFTC allows only binary exchanges. One of the exchanges with regulated status in the US is NADEX, that provides the best trading experience possible, and is limited to US customers only.