Regulation & Security

How is MIAXdx Regulated? 

MIAXdx is a U.S. federally regulated exchange and clearinghouse. MIAXdx holds three licenses with the U.S. Commodity Futures Trading Commission (CFTC):

  • Derivatives Clearing Organization (DCO)
  • Designated Contract Market (DCM)
  • Swap Execution Facility (SEF)

These licenses enable us to operate our exchange and clearinghouse in all 50 states in the US (including its territories), with access to certain international jurisdictions.

What is the CFTC?
The U.S. Commodity Futures Trading Commission (CFTC) is an independent federal agency of the U.S. Government and oversees and regulates derivatives markets, including swaps, options and futures on bitcoin and ethereum.  

What is a Clearinghouse?
Clearinghouses hold and monitor risk in the regulated financial system, ensuring counterparties can meet the financial obligations represented by their positions. MIAXdx maintains a Derivatives Clearing Organization (DCO) license issued by the U.S. Commodity Futures Trading Commission (CFTC), which authorizes us to clear fully-collateralized futures, options on futures, and swaps (which include options on commodities).

All trades executed on MIAXdx DCM are cleared by the MIAXdx DCO.
How does MIAXdx handle custody for US dollars?
Cash is held in custodial accounts at Customers Bank and BMO Bank. View digital asset custody and insurance information
How does MIAXdx custody digital assets?
We partnered with BitGo to provide multi-signature wallet services. Click here to learn more about Custody & Insurance.
Does MIAXdx undergo financial and security audits?
MIAXdx has undergone independent annual audits covering financials, cybersecurity systems, internal control mechanisms, and more.
  • Anti Money Laundering (AML):  MIAX Derivatives Exchange (MIAXdx) has undergone a full analysis and review of our OFAC (Office of Foreign Assets Control) procedures and AML processes, strategy, policy, controls and related technologies.
  • Financial Condition: Grant Thorton audited MIAXdx's financial condition and expressed an unqualified opinion (i.e., clean bill of health) that our financial statements were presented fairly, in all material respects, in accordance with US GAAP accounting principles.
  • Digital Currency: Because we custody bitcoin and ethereum on behalf of our clients, Grant Thorton conducted a thorough examination of how we hold digital assets.
  • Security: Praetorian, a trusted name in cybersecurity, performed an Information Technology (IT) Security Risk Assessment that evaluated the effectiveness of MIAXdx's existing security controls.
  • Internal Controls:  MIAXdx has undergone an audit of our internal controls (technically known as a SOC I Type II Audit) to ensure that they are operating effectively and appropriately protecting client data.
  • Onsite IT systems: Every year, the CFTC examines one aspect of our operations with a special emphasis. Last year, this examination covered our onsite systems and safeguards.


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