CME Group has received SEC registration for its new clearing house, CME Securities Clearing Inc. (CMESC), which is set to launch on December 7, 2025. The entity will facilitate central counterparty clearing for US Treasury cash transactions and repo agreements, challenging the long-standing dominance of the Fixed Income Clearing Corporation in this sector.
The new platform will offer cross-margining capabilities, allowing firms to reduce collateral requirements by offsetting positions in Treasury futures and cash Treasuries. CMESC is designed to support both 'done-with' and 'done-away' execution models, providing flexibility for market participants to clear trades regardless of their execution method.
The launch comes as the SEC mandates central clearing for eligible US Treasury transactions by December 31, 2026, and for repo transactions by June 30, 2027. CME Group CEO Terry Duffy noted that the expanded capacity aims to assist market participants in meeting these regulatory requirements.
While the entity officially launches in December 2025, the rollout of operations will be gradual. The company expects to begin onboarding and early cross-margining activities in the coming months, with the first customer trades anticipated around May 2026. Full service availability is now targeted for the third quarter of 2026.
