REGULATORY STRUCTURE AND OVERVIEW
DCCC is regulated by the Securities and Commodities Authority (SCA), the federal regulator in the UAE, under SCA Board Decision No.11 of 2015, Regulations of Clearing Operations in Commodities Markets. (SCA_CCP Regulations)
SCA was established in 2000 in accordance with Federal Law no.4 and is a public authority that has been given the supervisory and executive powers necessary to perform its functions. SCA is the regulatory authority for the Securities Market and Commodities markets in the UAE.
SCA’s fundamental objective is to provide the opportunity to invest in commodities in a manner that serves the interest of the national economy by establishing the basis for sound and just dealings between various investors. SCA is an Ordinary Member of IOSCO and has signed an Multilateral Memorandum of Understanding with IOSCO for enhancing the cooperation and sharing information.
DCCC has a fully operational Compliance Department which, in liaison with SCA, ensures that Broker Clearing Members maintain strict adherence to SCA approved DCCC Clearing Rules and SCA CCP regulations.
DCCC has been recognised as a third-country CCP (TC-CCP) by the European Securities and Markets Authority (ESMA),since March 30, 2017. Following the third-country CCP recognition from ESMA, DCCC will now be able to provide clearing services to the European financial institutions.
DCCC has been granted Recognized Body status under Financial Services Regulatory Authority/FSRA. The recognition allows DCCC to conduct its activity within ADGM as a Non-ADGM Recognized Clearing House pursuant to section 127(a) of the Financial Services and Markets Regulations, accordingly, the firms, financial institutions domiciled in that jurisdiction are allowed to become Broker Clearing Members on the Exchange.