SUPPLEMENTARY INFORMATION:

In September 2020, the Commodity Futures Trading Commission (Commission) adopted final rules to revise, among other things, part 45 of its regulations on swap data recordkeeping and reporting requirements for swap data repositories, derivatives clearing organizations, swap execution facilities, designated contract markets, swap dealers (SDs), major swap participants (MSPs), and swap counterparties that are neither SDs nor MSPs.^[1] Part 23 of the Commission's regulations contains multiple cross-references to, and relies on terms defined in, part 45 of the Commission's regulations. The Commission has identified the following errors in part 23 relating to part 45 as well as certain other similar errors, and is correcting them as shown in the regulatory text in this Federal Register document.

In accordance with the Administrative Procedure Act, the Commission has good cause to find that it is unnecessary to provide the public ( printed page 8753) prior notice and an opportunity to comment on these technical amendments.^[2] As more fully described below, the amendments make only typographical and clerical changes that are necessary to avoid confusion or mistakes. There is no substantive change on which the public could comment. As the revisions to the Commission's regulations in this rulemaking are only technical in nature and will not cause any party to undertake any new obligations, the Commission has determined to publish this rulemaking without prior notice and comment. Similarly, because the Commission is not promulgating, changing, or deleting any regulatory requirement, consideration of costs and benefits and consideration of the public interest to be protected by the antitrust laws are not required by the Commodity Exchange Act.^[3] Finally, these correcting amendments do not implicate any requirements under the Paperwork Reduction Act of 1995.^[4]

A. Correcting Cross-References

Commission regulation § 23.202 (Daily trading records) ^[5] erroneously cross-references Commission regulations § 45.4(a), (b), and (c). The Commission is correcting the cross-references to Commission regulations §§ 45.5, 45.6, and 45.7, respectively.

Commission regulation § 23.205(a) (Real-time public reporting of swap transaction and pricing data) ^[6] erroneously cross-references the real-time public “recording” requirements in part 43 of the Commission's regulations. The Commission is correcting the reference to replace the word “recording” with the word “reporting.”

B. Updating the Term “Unique Transaction Identifier”

The Commission is replacing the term unique swap identifier (USI) with the term unique transaction identifier (UTI). The Commission previously updated part 45 to make this change,^[7] but did not make the necessary conforming changes in part 23 where it is referenced.^[8]

C. Updating the Term “Legal Entity Identifier”

The Commission is updating and conforming its references to a counterparty's identifier to clarify that a counterparty must provide its legal entity identifier (LEI) or, when applicable, an alternate identifier.^[9] Part 23 does not consistently use the term LEI (in one instance using the term unique counterparty identifier instead),^[10] and does not clearly address the full set of circumstances when a counterparty may use an alternate identifier in lieu of an LEI, but rather only provides for the use of an alternate identifier where the counterparty is a natural person.^[11]

D. Updating Use of the Term “Unique Product Identifier”

The Commission is updating and conforming its references to a swap's unique product identifier (UPI) to clarify that the swap trading record shall include the UPI and description using the product classification system as prescribed in part 45, when applicable.^[12] Commission regulation § 23.202(a)(2)(vii) does not address the possibility that a swap may not have a UPI.^[13]

E. Updating Example of a Floating Rate

The Commission is replacing the example floating rate in Exhibit C of part 23, subpart I, appendix 1, to use “Fed Funds.” Exhibit C currently uses the outdated “USD-Libor-BBA” as an example for the field labeled Floating rate index name/rate period.^[14]

For the reasons stated in the preamble, 17 CFR part 23 is corrected by making the following correcting amendments:

Note:

The following appendix will not appear in the Code of Federal Regulations.

Appendix to Reporting, Recordkeeping, Daily Trading Records, and Swap Documentation Requirements for Swap Dealers and Major Swap Participants; Corrections—Commission Voting Summary

On this matter, Chairman Behnam and Commissioners Johnson, Goldsmith Romero, Mersinger, and Pham voted in the affirmative. No Commissioner voted in the negative.