Crypto Clearing vs. Settlement: What Happens After a Trade?
Netting and collateral are not the same as payment and delivery
The Defiant published a piece about what happens after a crypto trade. It says netting offsets obligations. It also says collateral backs performance.
The piece says neither netting nor collateral is the same as completing payment and delivery.
Main points in the short summary
- Netting offsets obligations.
- Collateral backs performance.
- Neither is the same as completing payment and delivery.
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