ESMA criteria for systemically important third-country CCPs

This regulation establishes the specific criteria that the European Securities and Markets Authority (ESMA) must use to decide if a central counterparty (CCP) based outside the EU is systemically important. This is crucial for maintaining financial stability and preventing a collapse in non-EU financial markets from triggering a crisis within the Union.

This affects non-EU financial institutions acting as central counterparties and the regulatory bodies overseeing them. It ensures that high-risk foreign entities are identified and monitored to protect EU investors and financial markets.