The International Capital Market Association (ICMA) published new reference guidance for Distributed Ledger Technology (DLT) based debt securities.
As part of marketing, disclosure and issuance guidelines, ICMA recommended transparency for whether a DLT-based security eligible for the purposes of applicable contractual frameworks such as: a) repo and securities lending documentation, for example, as defined under the Global Master Repurchase Agreement (GMRA) Digital Assets Annex, or the Global Master Securities Lending Agreement (GMSLA) Digital Assets Annex, or derivatives documentation, and b) Regulatory frameworks, for example, does it qualify as eligible collateral under applicable prudential rules or mandatory margining rules?
Read our interview with ISLA and Clifford Chance on the Digital Assets Annex for GMRA and GMSLA.