The world of regulation is poised for many changes in the upcoming years, from MiFID II/MiFIR to EMIR and even the US-Centric Dodd Frank, the'Alphabet Soup' as it's been dubbed means that governments across the world will need to be ready to adapt quickly.

Firstly, as part of this onslaught of regulation, central counterparties (CCPs) must offer non-discriminatory treatment with regard to how contracts traded on its platforms are treated, while considering collateral requirements and netting of economically equivalent contracts and cross-maligning with "correlated contracts cleared by the same CCP". 

Commenting on the laws, David Wigan and William Mitting from Futures and Options World said in a recent post: "MiFIR does seemingly create fungibility that means that the market is far more open to new entrants than ever before and that fees will inevitably fall and margins on derivatives trading and clearing will inevitably narrow."

Therefore, the law may bring many upsides to the European sector, but what about other forms of regulation?