The disorderly failure of a central counterparty clearinghouse (CCP) could lead to severe systemic disruptions, potentially impairing the effective operation of financial markets. To avoid such disruptions, we need effective mechanisms to provide for the resolution of a failing clearinghouse if recovery is not possible.
Policy Discussion Paper, Vol. PDP, No. 2016-01, September 2016
Resolving Central Counterparties after Dodd-Frank: Are They Eligible for "Orderly Liquidation"?