tZERO Group, Inc., a leader in blockchain-based financial infrastructure, announced today that its wholly owned subsidiary, tZERO Introducing Broker, LLC, has completed its registration with the Commodity Futures Trading Commission as an introducing broker and has become a member of the National Futures Association. This regulatory approval expands tZERO's portfolio of licensed capabilities, enabling the company to provide infrastructure for regulated derivative products.
As an introducing broker, tZERO Introducing Broker can solicit and accept customer orders for CFTC-regulated derivatives and pass those orders to a Designated Contract Market or Futures Commission Merchant for execution and clearing on a fully disclosed basis. Initially, tZERO plans to use this license to offer event contracts on its forthcoming multi-asset platform. Event contracts are derivatives that pay out based on whether a specified future event occurs, such as economic or political outcomes, and typically settle on an all-or-nothing basis.
Alan Konevsky, Chairman and Chief Executive Officer of tZERO, stated, "The launch of tZERO Introducing Broker is another example of our strategy to expand our market-leading, vertically integrated infrastructure stack for tokenized securities horizontally to a range of CFTC-regulated products – as we build trusted, regulated and independent infrastructure that enables institutions and investors to participate in an expanding range of financial markets through a seamless client experience and back-end interoperability."
This approval follows tZERO's previously announced applications for Designated Contract Market and Derivatives Clearing Organization registrations, marking another step in the company's broader derivatives strategy. tZERO continues to focus on building interoperable infrastructure that connects traditional and emerging financial markets through regulated, technology-driven solutions, aiming to unlock asset silos and provide institutions and investors with access to the next generation of financial markets.
For more information about tZERO Introducing Broker, LLC, see the NFA's BASIC search at https://www.nfa.futures.org/BasicNet/.
