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UNITED STATES OF AMERICA 

Before the 

COMMODITY FUTURES TRADING COMMISSION

_____________________________________ 

In the Matter of the Request by FMX Futures 

Exchange, L.P. to Amend Its Order of 

Designation as a Contract Market 

_____________________________________ 

AMENDED ORDER OF DESIGNATION AS A CONTRACT MARKET 

 WHEREAS, on April 20, 2010, the Commodity Futures Trading Commission (the 

“Commission”) issued an order (the “Original Order”) pursuant to Section 5 of the Commodity 

Exchange Act (“Act”), 7 U.S.C. § 7, designating FMX Futures Exchange, L.P. (the “Exchange”), 

formerly named CX Futures Exchange, L.P. and originally named Cantor Futures Exchange, 

L.P., as a contract market. 

 WHEREAS, the Original Order provided that trading on the Exchange “may not be 

intermediated.” 

WHEREAS, by submissions dated April 29, 2022 through December 15, 2023, the 

Exchange requested that the Commission amend the Original Order to address trade 

intermediation by futures commission merchants (“FCMs”) and introducing brokers (“IBs”) on 

the Exchange (such request, including the documentation and representations submitted by the 

Exchange in support thereof, the “Request”). 

WHEREAS, the Exchange represents that it intends to organize its operations into two 

separate divisions: the “FMX Division,” which will operate a trading platform that provides for 
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trade intermediation by FCMs and IBs, and the “CX Division,” which will continue the 

Exchange’s present operation of a non-intermediated trading platform. 

WHEREAS, the Exchange represents that trades executed on the CX Division trading 

platform will be cleared by the Exchange’s affiliated derivatives clearing organization (“DCO”), 

CX Clearinghouse, L.P., and trades executed on the FMX Division trading platform will be 

cleared by another DCO registered under Section 5b of the Act, 7 U.S.C. § 7a-1(a). 

WHEREAS, the Exchange has developed and represents that it will, upon Commission 

approval of the Request, implement rules, policies, procedures, and systems to address the 

operation by the FMX Division of an intermediated trading platform, including, but not limited 

to, new and modified Exchange rules, new and modified compliance policies and procedures, 

and a new program for the financial surveillance of FCMs participating on the FMX Division 

trading platform. 

WHEREAS, the Exchange has developed and represents that it will, upon Commission 

approval of the Request, implement rules, policies and procedures which provide that Exchange 

affiliates shall not trade on the FMX Division trading platform. 

WHEREAS, the Exchange represents that it has arranged to meet the reporting 

requirements set forth in Commission Regulation 16.02, 17 C.F.R. § 16.02, by delegation to a 

regulatory service provider, and will not commence trading of contracts on the FMX Division 

trading platform until such time as its regulatory service provider has completed testing with the 

Commission’s Division of Data (“DOD”), with respect to such contracts, to provide for 

Commission Regulation 16.02 reporting in a form and manner that is acceptable to DOD. 

WHEREAS, the Exchange represents that it complies, and will remain subject to and 

compliant, with all provisions of the Act and the Commission’s regulations applicable to 
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designated contract markets (“DCMs”), including self-regulatory responsibilities applicable to 

DCMs under the Act and the Commission’s regulations. 

WHEREAS, Commission staff reviewed and analyzed the Request to evaluate the 

Exchange’s ability to comply, with respect to the implementation of the FMX Division trading 

platform, with the core principles for DCMs and corresponding Commission regulations in 

accordance with Section 5(d) of the Act, 7 U.S.C. § 7(d), and Commission Regulations 38.100-

38.1201, 17 C.F.R. §§ 38.100-38.1201. 

Based upon the foregoing, the Commission FINDS that the Exchange has demonstrated 

its ability to comply with the core principles and the Commission’s regulations applicable to 

DCMs. 

Therefore: 

IT IS HEREBY ORDERED, pursuant to Section 5 of the Act, 7 U.S.C. § 7, that the 

Original Order is superseded by this Order of Designation and the Exchange is designated as a 

contract market subject to the following terms and conditions. 

(1) Trading of contracts on the CX Division trading platform shall not be 

intermediated, and the Exchange shall continue to be subject to the following terms and 

conditions contained in the Original Order with respect to the CX Division trading platform: 

(a) The Exchange will provide participants on the trading platform with order 

confirmations of each executed transaction and with monthly account statements; 

(b) The Exchange will provide large trader reports to the Commission in 

accordance with Commission regulations; 
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(c) The Exchange will maintain funds of participants on the trading platform in 

bank accounts that will be segregated at all times in accordance with the Commission’s 

regulations; 

(d) The Exchange will not cheat, defraud or deceive, or attempt to cheat, defraud 

or deceive, any participant of the trading platform or CX Clearinghouse, L.P.; 

(e) The Exchange will not bucket an order of a participant on the trading platform 

or engage in a business that is of the nature of a bucket shop; 

(f) The Exchange will not willfully make or cause to be made to a participant a 

false report, or willfully enter or cause to be entered for a participant a false record, in or 

in connection with any contract traded on the trading platform or cleared through CX 

Clearinghouse, L.P.; 

(g) The Exchange will not disseminate, or cause to be disseminated, false or 

misleading information, or a knowingly inaccurate report, that affects or tends to affect 

the price of any contract traded on the trading platform; 

(h) The Exchange will not engage in manipulative acts or practices regarding the 

price of a contract traded on the trading platform; 

(i) The Exchange will not willfully submit false or misleading information to the 

Commission, the Exchange’s regulatory services provider, or their respective agents; and 

(j) The Exchange will not embezzle, steal, purloin or knowingly convert any 

money, securities or other property received from or accruing to a participant in 

connection with contracts traded on the trading platform or cleared by CX Clearinghouse, 

L.P.