On December 14, the International Swaps and Derivatives Association (ISDA) published a Paper exploring key issues in developing contractual standards for digital asset derivatives.
Identifies the distinguishing features of different types of digital asset, highlighting the key characteristics and features of these assets and their relevance to contractual standards.
Identifies potential disruption events that could occur with respect to digital asset derivatives and provides a framework for defining these events.
Identifies issues relating to how digital assets and the derivatives that reference them can be valued.
Explains how contractual standards for digital asset derivatives will interact with the existing ISDA documentation architecture.
Highlight potential contractual issues to consider when collateralizing digital asset derivatives, whether using traditional or digital forms of collateral.
A supplement to the paper setting out a granular, technical analysis of different ISDA product definitions and their potential applicability to digital asset derivatives is also available on the ISDA website.