Central Counterparty - CCP ... in simple terms

Central Counterparty - CCP, explained in simple terms and pictures in a cooperation with explainity.
For more information about explainity visit www.explainity.com.
You can find more information on CCP for OTC trading on the website of Deutsche Börse: bit.ly/ZDLJMy

[@Torbschie]

Nice and precise

[@shanmu2021]

thank you ! :)

[@diderooy]

What happens if both the seller and the clearinghouse end up defaulting because the seller was so overleveraged?

[@NikosKatsikanis]

no one monitoring comments

[@trc1305]

CCPs are deliberately underfunded and designed to fail so that they may sweep the collateral provided by entitlement holders. If a "protected class" creditor is involved, they have rights over the secured creditor to the entitlement holders' assets. If no "protected class" is involved, only the secured creditor has priority over the entitlement holder.

[@zes7215]

wr

[@divyaalok5538]

जय श्री कृष्ण