# Why Does a Significant Non-Centrally Cleared Repo Market Persist Alongside Central Clearing? ▴ Question

**Published:** 2025-08-04
**Categories:** Question

---

![Abstract geometric representation of an institutional RFQ protocol for digital asset derivatives. Two distinct segments symbolize cross-market liquidity pools and order book dynamics](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-protocol-2.jpg)

![Polished metallic blades, a central chrome sphere, and glossy teal/blue surfaces with a white sphere. This visualizes algorithmic trading precision for RFQ engine driven atomic settlement](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-rfq-engine-high-fidelity-digital-asset-atomic-execution-microstructure.jpg)

## Concept

The persistence of a vast, [non-centrally cleared](https://prime.greeks.live/question/what-are-the-key-differences-in-margin-requirements-for-centrally-cleared-versus-non-centrally-cleared-derivatives/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) repurchase agreement (repo) market is a direct function of its structural adaptability. It exists because the rigid, standardized architecture of central clearing, while beneficial for mitigating certain systemic risks, imposes constraints that are incompatible with a significant volume of legitimate and economically vital financing strategies. The [non-centrally cleared bilateral repo](https://prime.greeks.live/area/non-centrally-cleared-bilateral-repo/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) (NCCBR) segment, estimated at over $2 trillion in daily transactions, operates as a parallel system precisely because it offers bespoke solutions for collateral, tenor, and, most critically, leverage that the cleared market cannot accommodate. This is a system where deep, bilateral relationships and negotiated terms supersede the one-size-fits-all protocol of a central counterparty (CCP).

Understanding this duality requires seeing the repo market not as a single entity, but as a tiered ecosystem designed to serve different purposes. [Central clearing](https://prime.greeks.live/area/central-clearing/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) provides a utility-grade mechanism for standardized, low-risk transactions, primarily in highly liquid government securities. Its purpose is systemic stability through multilateral netting and transparent risk management. The [NCCBR market](https://prime.greeks.live/question/how-does-the-proliferation-of-last-look-affect-overall-price-discovery-and-market-stability-in-the-fx-market/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite), in contrast, is an arena for customized, high-touch financing.

It is the preferred venue for participants, particularly hedge funds and specialized dealers, whose strategies depend on the flexibility to negotiate specific collateral terms, execute longer-duration trades, and, fundamentally, achieve [capital efficiency](https://prime.greeks.live/area/capital-efficiency/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) through mechanisms like zero haircuts and [balance sheet netting](https://prime.greeks.live/area/balance-sheet-netting/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite). The very features that make the NCCBR segment opaque to regulators are the source of its value to these sophisticated participants. It is a market built on tailored execution, where the primary risk mitigant is the counterparty relationship itself, supplemented by bespoke legal agreements.

> The non-centrally cleared repo market endures because it provides essential flexibility in collateral, margining, and netting that standardized cleared markets cannot offer.

The core of the matter lies in a fundamental trade-off between systemic risk reduction and transactional efficiency. A CCP introduces a robust, centralized framework for managing counterparty credit risk. It achieves this by becoming the buyer to every seller and the seller to every buyer, collateralizing exposures based on a portfolio-level, value-at-risk (VaR) model. This process, while secure, is inherently standardized.

The CCP dictates eligible collateral, sets margin requirements based on its own models, and limits the potential for the kind of bespoke arrangements that drive many [relative value](https://prime.greeks.live/area/relative-value/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) and arbitrage strategies. The [NCCBR](https://prime.greeks.live/area/nccbr/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) market thrives in the gaps left by this standardization. It allows a dealer and a client to agree that a specific U.S. Treasury security, pledged as collateral in a “netted package” against another security, carries zero effective risk between them and thus requires no haircut. This practice, which is central to the NCCBR market’s existence, is structurally incompatible with the operational model of a CCP, which cannot assess the risk of such a trade on a bilateral, context-specific basis.

Therefore, the continued significance of the non-[centrally cleared](https://prime.greeks.live/question/what-are-the-key-differences-in-margin-requirements-for-centrally-cleared-versus-non-centrally-cleared-derivatives/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) [repo market](https://prime.greeks.live/area/repo-market/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) is a direct reflection of the diverse needs of financial market participants. It is a testament to the fact that in a complex global financial system, a single, monolithic market structure is insufficient. The market has bifurcated, creating a high-volume, standardized utility for general funding and a parallel, bespoke system for specialized financing, where flexibility and capital efficiency are the paramount objectives.

![Precision-engineered multi-layered architecture depicts institutional digital asset derivatives platforms, showcasing modularity for optimal liquidity aggregation and atomic settlement. This visualizes sophisticated RFQ protocols, enabling high-fidelity execution and robust pre-trade analytics](https://options.greeks.live/wp-content/uploads/2025/08/modular-digital-asset-derivative-prime-os-for-institutional-rfq-and-block-trade-execution.jpg)

![Abstract geometric forms, including overlapping planes and central spherical nodes, visually represent a sophisticated institutional digital asset derivatives trading ecosystem. It depicts complex multi-leg spread execution, dynamic RFQ protocol liquidity aggregation, and high-fidelity algorithmic trading within a Prime RFQ framework, ensuring optimal price discovery and capital efficiency](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-liquidity-aggregation-market-microstructure-high-fidelity-execution-alpha-generation-prime-os-capital-efficiency.jpg)

## Strategy

The strategic decision to engage in the non-centrally cleared repo market is rooted in a calculated pursuit of capital efficiency and execution flexibility. Market participants, particularly dealers and their hedge fund clients, weigh the risk-mitigating benefits of central clearing against the tangible economic advantages of the bilateral space. The analysis consistently reveals that for specific types of transactions, the [non-centrally cleared bilateral](https://prime.greeks.live/question/what-are-the-key-differences-in-margin-requirements-for-centrally-cleared-versus-non-centrally-cleared-derivatives/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) repo (NCCBR) segment offers a superior strategic framework. The primary drivers of this choice are the interrelated strategies of haircut optimization, [balance sheet](https://prime.greeks.live/area/balance-sheet/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) netting, and the ability to transact in customized collateral and tenors.

![A sophisticated, symmetrical apparatus depicts an institutional-grade RFQ protocol hub for digital asset derivatives, where radiating panels symbolize liquidity aggregation across diverse market makers. Central beams illustrate real-time price discovery and high-fidelity execution of complex multi-leg spreads, ensuring atomic settlement within a Prime RFQ](https://options.greeks.live/wp-content/uploads/2025/07/institutional-grade-rfq-protocol-facilitating-atomic-settlement-and-high-fidelity-execution-of-multi-leg-spreads.jpg)

## The Strategic Value of Negotiated Haircuts

The single most important factor driving volume to the NCCBR market is the flexibility of its margining practices. In the centrally cleared world, haircuts are determined by the CCP’s risk model. For non-centrally cleared tri-party repo, a median haircut of 2% on U.S. Treasury collateral has been the standard for over a decade. This haircut represents the amount by which the value of the collateral exceeds the loaned cash, serving as a buffer against counterparty default and collateral price volatility.

The NCCBR market operates on a different set of principles. Here, haircuts are bilaterally negotiated terms, reflecting the specific collateral, the counterparty relationship, and the context of the trade. This flexibility is most powerfully expressed in the prevalence of the zero haircut. Data from the [Office of Financial Research](https://prime.greeks.live/area/office-of-financial-research/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) (OFR) reveals that approximately 74% of all Treasury repo volume in the NCCBR segment is transacted at a zero haircut. This is not an act of recklessness; it is a calculated decision, often linked to the use of “[netted packages](https://prime.greeks.live/area/netted-packages/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite).”

> The ability to negotiate zero haircuts on high-quality collateral within netted packages is a primary strategic driver for using the non-centrally cleared market.

![A sleek, multi-component device with a prominent lens, embodying a sophisticated RFQ workflow engine. Its modular design signifies integrated liquidity pools and dynamic price discovery for institutional digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-engine-microstructure-2.jpg)

## Balance Sheet Netting a Core Capital Efficiency Play

Netted packages are the operational heart of the NCCBR market’s value proposition. In a typical netted package, a client, such as a [hedge fund](https://prime.greeks.live/area/hedge-fund/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite), engages in a repo and a [reverse repo](https://prime.greeks.live/area/reverse-repo/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) trade with the same dealer for the same settlement date, but against different securities. For instance, the fund might borrow cash against an on-the-run 10-year Treasury note while simultaneously lending cash against an off-the-run 10-year Treasury note. This allows the fund to express a view on the relative value of the two securities.

For the dealer, this matched transaction presents minimal net risk. Under U.S. accounting rules (FASB Interpretation No. 41), the dealer can legally net the repo and reverse repo positions on its balance sheet. This netting dramatically reduces the dealer’s reported assets and liabilities, thereby lowering its regulatory capital requirements and balance sheet costs. This capital efficiency is a powerful incentive for dealers to facilitate such trades in the NCCBR market. The zero haircut is a logical consequence of this structure; since the dealer’s net exposure is near zero, the economic justification for demanding a haircut from the client is significantly diminished.

The table below illustrates the stark difference in haircut conventions between market segments, highlighting the strategic appeal of NCCBR.

| Market Segment | Typical Haircut on U.S. Treasury Collateral | Primary Driver of Haircut | Flexibility |
| --- | --- | --- | --- |
| Centrally Cleared (FICC) | Determined by VaR Model | CCP’s portfolio-level risk assessment | Low (Standardized) |
| Non-Centrally Cleared Tri-Party | ~2% (Median) | Market convention and custodian standards | Low (Standardized) |
| Non-Centrally Cleared Bilateral (NCCBR) | 0% for ~74% of volume | Bilateral negotiation, often in netted packages | High (Bespoke) |

![A marbled sphere symbolizes a complex institutional block trade, resting on segmented platforms representing diverse liquidity pools and execution venues. This visualizes sophisticated RFQ protocols, ensuring high-fidelity execution and optimal price discovery within dynamic market microstructure for digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/principal-rfq-aggregation-digital-asset-derivative-execution-optimization.jpg)

## What Is the Role of Collateral and Tenor Customization?

A further strategic dimension is the expanded universe of eligible collateral and trade durations available in the NCCBR market. Central clearinghouses like [FICC](https://prime.greeks.live/area/ficc/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) have strict limitations on the types of securities that can be used as collateral, typically restricting them to Fedwire-eligible securities. The NCCBR market has no such constraints. Participants seeking to finance positions in other asset classes, or execute specific-collateral trades on non-Fedwire securities, must use the bilateral market.

Similarly, the centrally cleared market is dominated by overnight transactions. While longer-term trades are possible, the liquidity is concentrated at the very short end of the curve. The NCCBR market provides a venue for negotiating longer-term financing arrangements, which are essential for many investment strategies. This ability to tailor the transaction to the specific needs of the underlying strategy makes the [NCCBR segment](https://prime.greeks.live/question/how-can-unsupervised-learning-be-used-to-segment-counterparties-in-an-rfq-framework/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) an indispensable tool for a wide range of market participants.

![A precisely engineered system features layered grey and beige plates, representing distinct liquidity pools or market segments, connected by a central dark blue RFQ protocol hub. Transparent teal bars, symbolizing multi-leg options spreads or algorithmic trading pathways, intersect through this core, facilitating price discovery and high-fidelity execution of digital asset derivatives via an institutional-grade Prime RFQ](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-engine-facilitating-high-fidelity-multi-leg-options-spread-execution-best-price-discovery-and-latent-liquidity-access-for-prime-brokerage.jpg)

![Translucent, overlapping geometric shapes symbolize dynamic liquidity aggregation within an institutional grade RFQ protocol. Central elements represent the execution management system's focal point for precise price discovery and atomic settlement of multi-leg spread digital asset derivatives, revealing complex market microstructure](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-driving-optimal-liquidity-aggregation-for-precise-price-discovery-and-atomic-settlement.jpg)

## Execution

The execution architecture of the non-centrally [cleared bilateral](https://prime.greeks.live/question/how-does-sa-ccr-differently-impact-cleared-versus-non-cleared-derivatives-portfolios/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) repo market is fundamentally distinct from its centrally cleared counterpart. It is a world defined by negotiation, bespoke agreements, and relationship-based risk management. Mastering this environment requires a deep understanding of its operational playbook, the quantitative drivers of its core trades, and the technological systems that underpin it. The decision to operate in this space is a conscious one, made to unlock specific economic advantages that are unavailable in the standardized, centrally cleared ecosystem.

![A luminous blue Bitcoin coin rests precisely within a sleek, multi-layered platform. This embodies high-fidelity execution of digital asset derivatives via an RFQ protocol, highlighting price discovery and atomic settlement](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-execution-precision-3.jpg)

## The Operational Playbook

Executing a trade in the NCCBR market follows a well-defined, albeit manual, process that relies on direct communication and established legal frameworks. The workflow stands in contrast to the automated, rules-based environment of a CCP.

- **Negotiation** ▴ The process begins with a direct communication between the client (e.g. a hedge fund) and a dealer. This typically occurs over voice channels, instant messaging platforms, or a proprietary RFQ system. The key terms negotiated include the specific collateral, the cash amount, the repo rate, the tenor (duration), and the haircut. For netted packages, two legs of the trade are negotiated simultaneously.

- **Credit and Legal Verification** ▴ Before execution, the dealer’s trading desk confirms that a [Master Repurchase Agreement](https://prime.greeks.live/area/master-repurchase-agreement/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) (MRA) is in place with the counterparty. This legal document governs the terms of the repo relationship, including rights in the event of a default. Credit lines are checked to ensure the proposed trade is within the approved limits for that specific counterparty.

- **Trade Confirmation** ▴ Once terms are agreed upon, a formal confirmation is exchanged. This can range from an email to a more structured electronic message, but it lacks the universal standardization of a CCP trade feed. The confirmation legally binds both parties to the terms of the trade.

- **Settlement** ▴ The settlement process is bilateral. The cash leg of the transaction is typically settled via Fedwire, while the securities leg is settled via the Fedwire Securities Service. This is a Delivery versus Payment (DvP) settlement, meaning the securities and cash are exchanged simultaneously to eliminate settlement risk. This process requires careful coordination between the operations teams of both counterparties.

![A central metallic RFQ engine anchors radiating segmented panels, symbolizing diverse liquidity pools and market segments. Varying shades denote distinct execution venues within the complex market microstructure, facilitating price discovery for institutional digital asset derivatives with minimal slippage and latency via high-fidelity execution](https://options.greeks.live/wp-content/uploads/2025/07/principals-digital-asset-derivatives-rfq-protocol-execution-nexus.jpg)

## Quantitative Modeling and Data Analysis

The primary quantitative advantage of the NCCBR market is the ability to reduce balance sheet consumption through netting. Consider a hedge fund executing a relative value trade on two different U.S. Treasury bonds with the same dealer. The table below models this “netted package” and demonstrates the powerful impact on the dealer’s balance sheet.

| Transaction Leg | Security | Market Value | Haircut | Cash Exchanged | Dealer’s Balance Sheet (Gross) | Dealer’s Balance Sheet (Netted) |
| --- | --- | --- | --- | --- | --- | --- |
| Leg 1 Repo (Dealer Lends Cash) | T 2.5% 08/15/2034 | $100,000,000 | 0% | $100,000,000 | +$100M Reverse Repo Asset | $0 |
| Leg 2 Reverse Repo (Dealer Borrows Cash) | T 2.75% 02/15/2034 | $100,000,000 | 0% | $100,000,000 | +$100M Repo Liability | $0 |

In this scenario, the dealer’s gross balance sheet exposure increases by $200 million. However, because the trades are with the same counterparty and for the same tenor, the dealer can net these positions. The net exposure is $0.

This reduction in the size of the balance sheet directly translates into lower regulatory capital requirements under frameworks like the Supplementary Leverage Ratio (SLR). The ability to offer a 0% haircut is a direct consequence of this netting benefit; the dealer’s risk is minimal, and the capital efficiency gained allows for more competitive pricing to the client.

![A sleek, metallic control mechanism with a luminous teal-accented sphere symbolizes high-fidelity execution within institutional digital asset derivatives trading. Its robust design represents Prime RFQ infrastructure enabling RFQ protocols for optimal price discovery, liquidity aggregation, and low-latency connectivity in algorithmic trading environments](https://options.greeks.live/wp-content/uploads/2025/08/institutional-digital-asset-derivatives-rfq-execution-control-for-optimal-market-microstructure-precision.jpg)

## How Do Netted Packages Influence Market Strategy?

The ability to execute netted packages with zero haircuts is a cornerstone of many relative value strategies. Consider a hedge fund that believes a newly issued “on-the-run” 10-year Treasury is overpriced relative to the previous “off-the-run” 10-year Treasury. The fund would want to sell short the on-the-run security and buy the off-the-run security. The most capital-efficient way to achieve this is through the repo market.

- **Step 1 The Strategy** ▴ The fund’s portfolio manager identifies a pricing discrepancy between the two bonds and decides to implement a convergence trade.

- **Step 2 The Execution Venue** ▴ The fund’s trader knows that obtaining the specific off-the-run bond and achieving the desired leverage will be most efficient in the NCCBR market. A centrally cleared venue would likely not offer the specific bond needed and would impose a standard haircut, increasing the cost of the trade.

- **Step 3 The Trade** ▴ The trader contacts a dealer and negotiates a netted package. The fund enters into a repo transaction, pledging the off-the-run bond it owns as collateral to borrow cash. Simultaneously, it enters into a reverse repo, using the borrowed cash to obtain the on-the-run bond it wishes to short. Because this is a matched pair trade with a single dealer, a 0% haircut is negotiated on both legs.

- **Step 4 The Benefit** ▴ The fund has efficiently established its short position in the on-the-run bond and its long position in the off-the-run bond. The use of the NCCBR market and the zero haircut structure has maximized the leverage and capital efficiency of the trade, allowing the fund to deploy its capital to other strategies.

![Reflective planes and intersecting elements depict institutional digital asset derivatives market microstructure. A central Principal-driven RFQ protocol ensures high-fidelity execution and atomic settlement across diverse liquidity pools, optimizing multi-leg spread strategies on a Prime RFQ](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-execution-precision.jpg)

## System Integration and Technological Architecture

The technological architecture of the NCCBR market is fragmented compared to the centralized infrastructure of cleared markets. Execution relies on a mix of voice, chat (like Bloomberg IB), and proprietary or multi-dealer RFQ platforms. Post-trade processing is less automated, relying on bilateral confirmation matching and settlement instructions sent via different channels. This lack of a central hub for trade data and settlement is precisely what makes the market opaque.

It also represents a higher operational burden for participants, who must maintain the systems and personnel to manage these bilateral flows. The persistence of these “legacy” systems is a testament to the overwhelming economic benefits of the strategic flexibility the NCCBR market provides. The value of a zero haircut and a netted balance sheet position outweighs the costs of maintaining a more manual, fragmented operational workflow.

![Abstract geometric forms depict a Prime RFQ for institutional digital asset derivatives. A central RFQ engine drives block trades and price discovery with high-fidelity execution](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-engine-optimizing-market-microstructure-for-high-fidelity-execution.jpg)

## References

- Hempel, Samuel, et al. “Why Is So Much Repo Not Centrally Cleared?” OFR Brief Series, no. 23-01, Office of Financial Research, 12 May 2023.

- Financial Stability Board. “Global Monitoring Report on Non-Bank Financial Intermediation 2023.” 11 Dec. 2023.

- Treasury Market Practices Group. “White Paper ▴ Non-Centrally Cleared Bilateral Repo and Indirect Clearing in the U.S. Treasury Market.” Federal Reserve Bank of New York, May 2022.

- Copeland, Adam, et al. “Repo and Securities Lending.” Staff Reports, no. 529, Federal Reserve Bank of New York, Dec. 2011, revised Sep. 2013.

- International Capital Market Association. “ICMA European Repo Market Survey.” Conducted on a semi-annual basis.

![A dark, transparent capsule, representing a principal's secure channel, is intersected by a sharp teal prism and an opaque beige plane. This illustrates institutional digital asset derivatives interacting with dynamic market microstructure and aggregated liquidity](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocols-market-microstructure.jpg)

## Reflection

The dual existence of centrally cleared and [bilateral repo](https://prime.greeks.live/area/bilateral-repo/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) markets provides a powerful lesson in financial systems architecture. It demonstrates that efficiency is not a monolithic concept. For a large segment of the market, efficiency means the standardization, safety, and scale of central clearing. For another, it means the surgical precision of a negotiated, bilateral agreement.

The strategic question for any institution is how to build an operational framework that can access the right market structure for the right purpose. The continued strength of the non-centrally cleared market suggests that the ability to navigate its complexities and harness its flexibility remains a significant source of competitive advantage. The ultimate goal is a system that views both market structures not as competitors, but as complementary tools in the pursuit of superior capital efficiency and execution quality.

![A precise mechanical instrument with intersecting transparent and opaque hands, representing the intricate market microstructure of institutional digital asset derivatives. This visual metaphor highlights dynamic price discovery and bid-ask spread dynamics within RFQ protocols, emphasizing high-fidelity execution and latent liquidity through a robust Prime RFQ for atomic settlement](https://options.greeks.live/wp-content/uploads/2025/07/precision-engineering-driving-institutional-digital-asset-derivatives-execution-across-advanced-rfq-protocols-and-prime-brokerage-frameworks.jpg)

## Glossary

<a href="https://prime.greeks.live/area/non-centrally-cleared-bilateral-repo/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Central axis, transparent geometric planes, coiled core. Visualizes institutional RFQ protocol for digital asset derivatives, enabling high-fidelity execution of multi-leg options spreads and price discovery](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-execution-engine-2.jpg)

## Non-Centrally Cleared Bilateral Repo

Meaning ▴ A Non-Centrally Cleared Bilateral Repo (Repurchase Agreement) is a transaction where two parties directly agree to exchange securities for cash with a commitment to reverse the exchange at a future date, without the intermediation of a central clearing counterparty. </a><a href="https://prime.greeks.live/question/what-are-the-key-differences-in-margin-requirements-for-centrally-cleared-versus-non-centrally-cleared-derivatives/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![An abstract visual depicts a central intelligent execution hub, symbolizing the core of a Principal's operational framework. Two intersecting planes represent multi-leg spread strategies and cross-asset liquidity pools, enabling private quotation and aggregated inquiry for institutional digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-rfq-protocol-engine-for-institutional-digital-asset-derivatives.jpg)

## Non-Centrally Cleared

The core difference is systemic architecture ▴ cleared margin uses multilateral netting and a 5-day risk view; non-cleared uses bilateral netting and a 10-day risk view. </a><a href="https://prime.greeks.live/area/central-clearing/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![An intricate, transparent digital asset derivatives engine visualizes market microstructure and liquidity pool dynamics. Its precise components signify high-fidelity execution via FIX Protocol, facilitating RFQ protocols for block trade and multi-leg spread strategies within an institutional-grade Prime RFQ](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-digital-asset-derivatives-rfq-liquidity-ecosystem.jpg)

## Central Clearing

Meaning ▴ Central Clearing refers to the systemic process where a central counterparty (CCP) interposes itself between the buyer and seller in a financial transaction, becoming the legal counterparty to both sides. </a><a href="https://prime.greeks.live/question/how-does-the-proliferation-of-last-look-affect-overall-price-discovery-and-market-stability-in-the-fx-market/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precision-engineered metallic component with a central circular mechanism, secured by fasteners, embodies a Prime RFQ engine. It drives institutional liquidity and high-fidelity execution for digital asset derivatives, facilitating atomic settlement of block trades and private quotation within market microstructure](https://options.greeks.live/wp-content/uploads/2025/07/precision-engineered-institutional-digital-asset-derivatives-platform-rfq-engine-for-high-fidelity-execution-and-atomic-settlement-of-block-trades.jpg)

## Nccbr Market

Last look re-architects FX execution by granting liquidity providers a risk-management option that reshapes price discovery and market stability. </a><a href="https://prime.greeks.live/area/balance-sheet-netting/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A central split circular mechanism, half teal with liquid droplets, intersects four reflective angular planes. This abstractly depicts an institutional RFQ protocol for digital asset options, enabling principal-led liquidity provision and block trade execution with high-fidelity price discovery within a low-latency market microstructure, ensuring capital efficiency and atomic settlement](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-rfq-protocol-core-system-for-high-fidelity-execution-and-aggregated-liquidity.jpg)

## Balance Sheet Netting

Meaning ▴ Balance Sheet Netting refers to the accounting practice of offsetting gross asset and liability positions or receivables and payables between two counterparties to present a single, consolidated net figure on a balance sheet. </a><a href="https://prime.greeks.live/area/capital-efficiency/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Central reflective hub with radiating metallic rods and layered translucent blades. This visualizes an RFQ protocol engine, symbolizing the Prime RFQ orchestrating multi-dealer liquidity for institutional digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/high-fidelity-digital-asset-rfq-execution-and-liquidity-management.jpg)

## Capital Efficiency

Meaning ▴ Capital efficiency, in the context of crypto investing and institutional options trading, refers to the optimization of financial resources to maximize returns or achieve desired trading outcomes with the minimum amount of capital deployed. </a><a href="https://prime.greeks.live/area/relative-value/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A symmetrical, high-tech digital infrastructure depicts an institutional-grade RFQ execution hub. Luminous conduits represent aggregated liquidity for digital asset derivatives, enabling high-fidelity execution and atomic settlement](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-institutional-digital-asset-derivatives-rfq-system.jpg)

## Relative Value

Meaning ▴ Relative Value, within crypto investing, pertains to the assessment of an asset's price or a portfolio's performance by comparing it to other similar assets, an established benchmark, or its historical trading range, rather than an absolute intrinsic valuation. </a><a href="https://prime.greeks.live/area/nccbr/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Geometric planes, light and dark, interlock around a central hexagonal core. This abstract visualization depicts an institutional-grade RFQ protocol engine, optimizing market microstructure for price discovery and high-fidelity execution of digital asset derivatives including Bitcoin options and multi-leg spreads within a Prime RFQ framework, ensuring atomic settlement](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-engine-architecture.jpg)

## Nccbr

Meaning ▴ NCCBR typically refers to the Net Capital Charge for Broker-Dealers, a regulatory metric within traditional finance. </a><a href="https://prime.greeks.live/question/what-are-the-key-differences-in-margin-requirements-for-centrally-cleared-versus-non-centrally-cleared-derivatives/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A conceptual image illustrates a sophisticated RFQ protocol engine, depicting the market microstructure of institutional digital asset derivatives. Two semi-spheres, one light grey and one teal, represent distinct liquidity pools or counterparties within a Prime RFQ, connected by a complex execution management system for high-fidelity execution and atomic settlement of Bitcoin options or Ethereum futures](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-market-microstructure-2.jpg)

## Centrally Cleared

The core difference is systemic architecture ▴ cleared margin uses multilateral netting and a 5-day risk view; non-cleared uses bilateral netting and a 10-day risk view. </a><a href="https://prime.greeks.live/area/repo-market/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A metallic structural component interlocks with two black, dome-shaped modules, each displaying a green data indicator. This signifies a dynamic RFQ protocol within an institutional Prime RFQ, enabling high-fidelity execution for digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/modular-rfq-protocol-engine-for-digital-asset-derivatives-prime-os.jpg)

## Repo Market

Meaning ▴ The Repo Market, or repurchase agreement market, constitutes a critical segment of the broader money market where participants engage in borrowing or lending cash on a short-term, typically overnight, and fully collateralized basis, commonly utilizing high-quality debt securities as security. </a><a href="https://prime.greeks.live/question/what-are-the-key-differences-in-margin-requirements-for-centrally-cleared-versus-non-centrally-cleared-derivatives/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Intersecting structural elements form an 'X' around a central pivot, symbolizing dynamic RFQ protocols and multi-leg spread strategies. Luminous quadrants represent price discovery and latent liquidity within an institutional-grade Prime RFQ, enabling high-fidelity execution for digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocols-enabling-high-fidelity-execution-across-disparate-liquidity-pools.jpg)

## Non-Centrally Cleared Bilateral

The core difference is systemic architecture ▴ cleared margin uses multilateral netting and a 5-day risk view; non-cleared uses bilateral netting and a 10-day risk view. </a><a href="https://prime.greeks.live/area/balance-sheet/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Geometric planes and transparent spheres represent complex market microstructure. A central luminous core signifies efficient price discovery and atomic settlement via RFQ protocol](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-microstructure-4.jpg)

## Balance Sheet

Meaning ▴ In the nuanced financial architecture of crypto entities, a Balance Sheet is an essential financial statement presenting a precise snapshot of an organization's assets, liabilities, and equity at a particular point in time. </a><a href="https://prime.greeks.live/area/office-of-financial-research/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Sleek, intersecting metallic elements above illuminated tracks frame a central oval block. This visualizes institutional digital asset derivatives trading, depicting RFQ protocols for high-fidelity execution, liquidity aggregation, and price discovery within market microstructure, ensuring best execution on a Prime RFQ](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-system-for-optimal-execution.jpg)

## Office of Financial Research

Meaning ▴ The Office of Financial Research (OFR) is a U. </a><a href="https://prime.greeks.live/area/netted-packages/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Two semi-transparent, curved elements, one blueish, one greenish, are centrally connected, symbolizing dynamic institutional RFQ protocols. This configuration suggests aggregated liquidity pools and multi-leg spread constructions](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-price-discovery-engine.jpg)

## Netted Packages

Meaning ▴ Netted Packages refer to groups of financial transactions or positions where offsetting obligations between two or more parties are aggregated into a single, smaller net obligation. </a><a href="https://prime.greeks.live/area/reverse-repo/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Three metallic, circular mechanisms represent a calibrated system for institutional-grade digital asset derivatives trading. The central dial signifies price discovery and algorithmic precision within RFQ protocols](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocols-and-execution-precision.jpg)

## Reverse Repo

Meaning ▴ A Reverse Repo (Reverse Repurchase Agreement), within the institutional crypto lending and liquidity management landscape, is a short-term transaction where one party sells a crypto asset (e. </a><a href="https://prime.greeks.live/area/hedge-fund/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![An abstract, angular sculpture with reflective blades from a polished central hub atop a dark base. This embodies institutional digital asset derivatives trading, illustrating market microstructure, multi-leg spread execution, and high-fidelity execution](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-price-discovery-system.jpg)

## Hedge Fund

Meaning ▴ A Hedge Fund in the crypto investing sphere is a privately managed investment vehicle that employs a diverse array of sophisticated strategies, often utilizing leverage and derivatives, to generate absolute returns for its qualified investors, irrespective of overall market direction. </a><a href="https://prime.greeks.live/area/ficc/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Abstract geometric design illustrating a central RFQ aggregation hub for institutional digital asset derivatives. Radiating lines symbolize high-fidelity execution via smart order routing across dark pools](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-high-fidelity-execution-architecture.jpg)

## Ficc

Meaning ▴ FICC, an acronym for Fixed Income, Currencies, and Commodities, represents a major sector within financial markets dealing with these asset classes. </a><a href="https://prime.greeks.live/question/how-can-unsupervised-learning-be-used-to-segment-counterparties-in-an-rfq-framework/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A crystalline sphere, representing aggregated price discovery and implied volatility, rests precisely on a secure execution rail. This symbolizes a Principal's high-fidelity execution within a sophisticated digital asset derivatives framework, connecting a prime brokerage gateway to a robust liquidity pipeline, ensuring atomic settlement and minimal slippage for institutional block trades](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-execution-platform-optimizing-liquidity-and-risk-management-through-advanced-protocols.jpg)

## Nccbr Segment

Unsupervised learning systematically clusters RFQ counterparties by behavior, enabling intelligent, data-driven liquidity sourcing. </a><a href="https://prime.greeks.live/question/how-does-sa-ccr-differently-impact-cleared-versus-non-cleared-derivatives-portfolios/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precision mechanism with a central circular core and a linear element extending to a sharp tip, encased in translucent material. This symbolizes an institutional RFQ protocol's market microstructure, enabling high-fidelity execution and price discovery for digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/precision-engineered-institutional-digital-asset-derivatives-rfq-execution-engine-microstructure-facilitating-optimal-price-discovery-and-best-execution.jpg)

## Cleared Bilateral

SA-CCR systematically rewards the structural integrity of central clearing by enabling superior netting efficiency and recognizing lower operational risk. </a><a href="https://prime.greeks.live/area/master-repurchase-agreement/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A stylized depiction of institutional-grade digital asset derivatives RFQ execution. A central glowing liquidity pool for price discovery is precisely pierced by an algorithmic trading path, symbolizing high-fidelity execution and slippage minimization within market microstructure via a Prime RFQ](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-high-fidelity-execution-1.jpg)

## Master Repurchase Agreement

Meaning ▴ A Master Repurchase Agreement (MRA) is a standardized legal contract governing repurchase (repo) transactions between two parties, typically for institutional trading of securities. </a><a href="https://prime.greeks.live/area/bilateral-repo/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Abstract geometric forms portray a dark circular digital asset derivative or liquidity pool on a light plane. Sharp lines and a teal surface with a triangular shadow symbolize market microstructure, RFQ protocol execution, and algorithmic trading precision for institutional grade block trades and high-fidelity execution](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-block-execution-microstructure.jpg)

## Bilateral Repo

Meaning ▴ A bilateral repo, or repurchase agreement, is a financial transaction in which two parties directly agree to exchange a digital asset for cash, with a simultaneous agreement to reverse the transaction at a specified future date and price. </a>

**Tags:** [Non-Centrally Cleared Bilateral Repo](https://options.greeks.live/area/non-centrally-cleared-bilateral-repo/), [Specific-Collateral Repo](https://options.greeks.live/area/specific-collateral-repo/), [Treasury Market Practices Group](https://options.greeks.live/area/treasury-market-practices-group/), [NCCBR](https://options.greeks.live/area/nccbr/), [Bilateral Repo](https://options.greeks.live/area/bilateral-repo/), [Repo Market](https://options.greeks.live/area/repo-market/)	

## Discover More

- 
### [How Might the New Clearing Rules Affect the Profitability of Leveraged Hedge Fund Strategies in the Treasury Market?](https://options.greeks.live/question/how-might-the-new-clearing-rules-affect-the-profitability-of-leveraged-hedge-fund-strategies-in-the-treasury-market/)
![Institutional-grade infrastructure supports a translucent circular interface, displaying real-time market microstructure for digital asset derivatives price discovery. Geometric forms symbolize precise RFQ protocol execution, enabling high-fidelity multi-leg spread trading, optimizing capital efficiency and mitigating systemic risk.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-request-for-quote-protocol-high-fidelity-execution-market-microstructure-intelligence-layer.jpg)

The new clearing rules re-architect the Treasury market, directly compressing hedge fund profitability by institutionalizing financing costs.

- 
### [What Role Does Central Clearing Play in the Development of RFQ Platforms for Different Asset Classes?](https://options.greeks.live/question/what-role-does-central-clearing-play-in-the-development-of-rfq-platforms-for-different-asset-classes/)
![A sleek, conical precision instrument, with a vibrant mint-green tip and a robust grey base, represents the cutting-edge of institutional digital asset derivatives trading. Its sharp point signifies price discovery and best execution within complex market microstructure, powered by RFQ protocols for dark liquidity access and capital efficiency in atomic settlement.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-execution-microstructure-price-discovery-optimization-prime-os-intelligence-layer.jpg)

Central clearing provides the foundational risk-mitigation and capital-efficiency layer that enables RFQ platforms to scale across asset classes.

- 
### [How Does Central Clearing Affect the Pricing Spreads Offered by Liquidity Providers in an RFQ?](https://options.greeks.live/question/how-does-central-clearing-affect-the-pricing-spreads-offered-by-liquidity-providers-in-an-rfq/)
![A sleek, institutional grade sphere features a luminous circular display showcasing a stylized Earth, symbolizing global liquidity aggregation. This advanced Prime RFQ interface enables real-time market microstructure analysis and high-fidelity execution for digital asset derivatives. It represents dynamic price discovery via sophisticated RFQ protocols, optimizing capital efficiency.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-grade-digital-asset-derivatives-trading-platform-displaying-global-liquidity-aggregation-and-real-time-price-discovery-for-rfq-protocols.jpg)

Central clearing re-architects RFQ pricing by replacing bespoke counterparty risk with standardized clearing costs, enhancing capital efficiency.

- 
### [How Does Regulatory Policy Impact Dealer Incentives in OTC Markets?](https://options.greeks.live/question/how-does-regulatory-policy-impact-dealer-incentives-in-otc-markets/)
![Modular institutional-grade execution system components reveal luminous green data pathways, symbolizing high-fidelity cross-asset connectivity. This depicts intricate market microstructure facilitating RFQ protocol integration for atomic settlement of digital asset derivatives within a Principal's operational framework, underpinned by a Prime RFQ intelligence layer.](https://options.greeks.live/wp-content/uploads/2025/07/modular-high-fidelity-execution-architecture-for-institutional-digital-asset-derivatives-rfq-protocol-integration-and-principals-operational-framework-optimization.jpg)

Regulatory policy reshapes OTC dealer incentives by translating systemic risk into direct capital and operational costs.

- 
### [How Does Central Clearing in the Treasury Market Affect Hedge Fund Strategies?](https://options.greeks.live/question/how-does-central-clearing-in-the-treasury-market-affect-hedge-fund-strategies/)
![A central metallic lens with glowing green concentric circles, flanked by curved grey shapes, embodies an institutional-grade digital asset derivatives platform. It signifies high-fidelity execution via RFQ protocols, price discovery, and algorithmic trading within market microstructure, central to a principal's operational framework.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-system-view.jpg)

Central clearing in the Treasury market reframes hedge fund strategy by systematizing risk and elevating the operational importance of collateral management.

- 
### [How Does Multilateral Netting Reduce Initial Margin Requirements?](https://options.greeks.live/question/how-does-multilateral-netting-reduce-initial-margin-requirements/)
![Abstract geometric design illustrating a central RFQ aggregation hub for institutional digital asset derivatives. Radiating lines symbolize high-fidelity execution via smart order routing across dark pools. Modular elements represent atomic settlement and capital efficiency within a Principal's operational framework.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-high-fidelity-execution-architecture.jpg)

Multilateral netting centralizes and compresses portfolio risk, drastically lowering initial margin by offsetting exposures across all counterparties.

- 
### [How Does Multilateral Netting in Central Clearing Improve Capital Efficiency for Institutions?](https://options.greeks.live/question/how-does-multilateral-netting-in-central-clearing-improve-capital-efficiency-for-institutions/)
![Precision-engineered device with central lens, symbolizing Prime RFQ Intelligence Layer for institutional digital asset derivatives. Facilitates RFQ protocol optimization, driving price discovery for Bitcoin options and Ethereum futures. Robust design ensures high-fidelity execution, capital efficiency, and counterparty risk mitigation.](https://options.greeks.live/wp-content/uploads/2025/07/high-fidelity-institutional-rfq-protocol-engine-for-digital-asset-derivatives-options-trading.jpg)

Multilateral netting is a capital optimization protocol that compresses gross exposures into a single net obligation, structurally reducing risk.

- 
### [What Are the Specific Differences between Ifrs and U.S. Gaap for Repo Netting?](https://options.greeks.live/question/what-are-the-specific-differences-between-ifrs-and-u-s-gaap-for-repo-netting/)
![A sleek, multi-component mechanism features a light upper segment meeting a darker, textured lower part. A diagonal bar pivots on a circular sensor, signifying High-Fidelity Execution and Price Discovery via RFQ Protocols for Digital Asset Derivatives. This Market Microstructure detail highlights Atomic Settlement capabilities and Capital Efficiency within a Principal's Operational Framework.](https://options.greeks.live/wp-content/uploads/2025/07/precision-engineered-institutional-digital-asset-derivatives-rfq-execution-microstructure-for-optimal-price-discovery-and-atomic-settlement-with-prime-os-integration.jpg)

U.S. GAAP permits broader repo netting based on master agreements, while IFRS demands intent and simultaneous settlement.

- 
### [What Are the Key Differences in Clearing and Settlement for RFQ Trades versus CLOB Trades?](https://options.greeks.live/question/what-are-the-key-differences-in-clearing-and-settlement-for-rfq-trades-versus-clob-trades/)
![A dark, transparent capsule, representing a principal's secure channel, is intersected by a sharp teal prism and an opaque beige plane. This illustrates institutional digital asset derivatives interacting with dynamic market microstructure and aggregated liquidity. It signifies precise RFQ block trade execution and high-fidelity within the Prime RFQ.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocols-market-microstructure.jpg)

RFQ settlement is a bespoke, bilateral process, while CLOB settlement is an industrialized, centrally cleared system.

---

## Raw Schema Data

```json
{
    "@context": "https://schema.org",
    "@type": "BreadcrumbList",
    "itemListElement": [
        {
            "@type": "ListItem",
            "position": 1,
            "name": "Home",
            "item": "https://options.greeks.live"
        },
        {
            "@type": "ListItem",
            "position": 2,
            "name": "Question",
            "item": "https://options.greeks.live/question/"
        },
        {
            "@type": "ListItem",
            "position": 3,
            "name": "Why Does a Significant Non-Centrally Cleared Repo Market Persist Alongside Central Clearing?",
            "item": "https://options.greeks.live/question/why-does-a-significant-non-centrally-cleared-repo-market-persist-alongside-central-clearing/"
        }
    ]
}
```

```json
{
    "@context": "https://schema.org",
    "@type": "Organization",
    "@id": "https://greeks.live/#organization",
    "name": "Greeks.Live",
    "url": "https://greeks.live/",
    "description": "Greeks.live is the definitive toolkit for the professional options trader, dedicated to empowering our users with institutional-grade data, advanced analytics, and a comprehensive suite of trading tools designed to provide a decisive edge in the market. Every article and guide published under the Greeks.live name is a product of our deep commitment to data-driven analysis and our mission to support the global trading community.",
    "email": "support@greeks.live",
    "logo": {
        "@type": "ImageObject",
        "url": "https://options.greeks.live/wp-content/uploads/2025/07/Greeks.Live-Logo-Icon.svg"
    },
    "hasPart": [
        {
            "@type": "WebSite",
            "name": "About Us",
            "url": "https://about.greeks.live"
        },
        {
            "@type": "WebSite",
            "name": "App Download Page",
            "url": "https://about.greeks.live/#/download/basic_trade"
        },
        {
            "@type": "WebSite",
            "name": "Newcomers' Guide",
            "url": "https://twisty-sign-c8b.notion.site/Guide-for-Greeks-live-X-Deribit-Newbies-5a08a3052822427d800af6eaf3704c8d"
        },
        {
            "@type": "WebSite",
            "name": "Knowledge Base",
            "url": "https://linktr.ee/greeks.live"
        },
        {
            "@type": "WebSite",
            "name": "Option Terminology",
            "url": "https://greekslive.notion.site/88dfc00e7c584d4d8969b6302a79a12f?pvs=4"
        },
        {
            "@type": "WebSite",
            "name": "Terms of Service",
            "url": "https://greeks.live/#/tos"
        },
        {
            "@type": "WebSite",
            "name": "Disclaimer",
            "url": "https://greeks.live/#/disclaimer"
        }
    ],
    "sameAs": [
        "https://x.com/greekslive",
        "https://youtube.com/@greeks_live?si=-KjT0Lkw4WUCI0tD",
        "https://t.me/greekslive_notifications",
        "https://t.me/greekslive",
        "https://pinterest.com/greekslive/"
    ],
    "makesOffer": [
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "RFQ Platform",
                "url": "https://rfq.greeks.live",
                "description": "Execute institutional-grade block trades for crypto options and futures. This platform provides deep, over-the-counter (OTC) liquidity via a professional Request for Quote system.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Lending Tools",
                "url": "https://lend.greeks.live",
                "description": "Manage crypto lending and borrowing activities to earn yield or secure loans. This suite of tools helps users analyze interest rates and manage collateralized debt positions.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Data Lab",
                "url": "https://greeks.live/#/deribit/tools/datalab/BTC",
                "description": "Analyze historical and real-time options data with advanced metrics. This tool is designed for backtesting strategies and identifying market trends through comprehensive data visualization.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Profit & Loss Analysis (PnL)",
                "url": "https://greeks.live/#/deribit/tools/pnl_analysis",
                "description": "Track and analyze the Profit and Loss (PnL) of your options portfolio. This tool provides detailed performance metrics to help traders evaluate and refine their strategies.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Position Visualization",
                "url": "https://greeks.live/#/deribit/tools/pv/BTC",
                "description": "Visualize complex options positions and their corresponding risk profiles. This tool generates payoff diagrams to help traders intuitively understand potential profit, loss, and exposure.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Options Calculator",
                "url": "https://greeks.live/#/deribit/tools/calculator",
                "description": "Calculate the theoretical price and risk parameters ('the Greeks') of crypto options. An essential tool for pricing new trades and analyzing the sensitivity of existing positions.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Greeks.live Main Platform",
                "url": "https://greeks.live/",
                "description": "The central hub for the Greeks.live suite of professional cryptocurrency options and derivatives trading tools. Access analytics, manage positions, and explore the ecosystem.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Community Forum",
                "url": "https://t.greeks.live",
                "description": "Join the official Greeks.live community. Connect with other traders, share insights, and receive the latest updates directly from the team.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Greeks.live for Deribit",
                "url": "http://deribit.greeks.live",
                "description": "A dedicated interface for trading on the Deribit exchange. This platform leverages Greeks.live's advanced analytics and tools specifically for users of Deribit's options and futures markets.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Greeks.live for OKX",
                "url": "http://okx.greeks.live",
                "description": "A dedicated interface for trading on the OKX exchange. This platform integrates Greeks.live's powerful analytics with the OKX marketplace, focusing on its options and derivatives products.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "GLVS.AI Trading Platform",
                "url": "https://www.glvs.ai/",
                "description": "An AI-powered platform for automated crypto options trading. Leverage advanced algorithms and data-driven signals to develop and deploy sophisticated, hands-free trading strategies.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "API Testnet & Sandbox",
                "url": "https://test.greeks.live",
                "description": "A dedicated testnet environment for developers to test their API integrations and automated trading strategies. This sandbox allows for full functionality testing without risking real funds.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        }
    ],
    "subOrganization": [
        {
            "@type": "Organization",
            "name": "GreeksLive HK Co., Limited",
            "email": "support@greeks.live",
            "telephone": "+852-56418949",
            "address": {
                "@type": "PostalAddress",
                "streetAddress": "Unit 11, 27/F, K. Wah Centre, 191 Java Road",
                "addressLocality": "Hong Kong",
                "addressRegion": "North Point",
                "addressCountry": "CN",
                "postalCode": "0000"
            },
            "geo": {
                "@type": "GeoCoordinates",
                "latitude": "22.2932357",
                "longitude": "114.2022026"
            },
            "image": "https://options.greeks.live/wp-content/uploads/2025/08/Wah-Centre-Hong-Kong.jpg"
        }
    ]
}
```

```json
{
    "@context": "https://schema.org",
    "@type": "Article",
    "mainEntityOfPage": {
        "@type": "WebPage",
        "@id": "https://options.greeks.live/question/why-does-a-significant-non-centrally-cleared-repo-market-persist-alongside-central-clearing/"
    },
    "headline": "Why Does a Significant Non-Centrally Cleared Repo Market Persist Alongside Central Clearing? \u25b4 Question",
    "description": "A persistent non-cleared repo market exists to provide bespoke flexibility in margining, collateral, and netting unavailable in standardized cleared systems. \u25b4 Question",
    "url": "https://options.greeks.live/question/why-does-a-significant-non-centrally-cleared-repo-market-persist-alongside-central-clearing/",
    "datePublished": "2025-08-04T13:19:37+00:00",
    "dateModified": "2025-10-25T03:01:50+00:00",
    "articleSection": [
        "Question"
    ],
    "author": {
        "@id": "https://greeks.live/#organization"
    },
    "publisher": {
        "@id": "https://greeks.live/#organization"
    },
    "image": {
        "@type": "ImageObject",
        "url": "https://options.greeks.live/wp-content/uploads/2025/07/prime-os-rfq-engine-high-fidelity-digital-asset-atomic-execution-microstructure.jpg",
        "caption": "Polished metallic blades, a central chrome sphere, and glossy teal/blue surfaces alongside a white sphere create an abstract representation. This visualizes the intricate market microstructure for institutional digital asset derivatives trading. It illustrates an RFQ engine facilitating high-fidelity execution and atomic settlement for block trades, leveraging smart order routing across latent liquidity pools. The depiction underscores capital efficiency and portfolio margin optimization within a robust Prime RFQ."
    },
    "keywords": [
        "Balance Sheet",
        "Balance Sheet Netting",
        "Bilateral Repo",
        "Capital Efficiency",
        "Central Clearing",
        "FICC",
        "Haircut Flexibility",
        "Hedge Fund",
        "Master Repurchase Agreement",
        "NCCBR",
        "Netted Packages",
        "Non-Centrally Cleared Bilateral Repo",
        "Office of Financial Research",
        "Relative Value",
        "Repo Market",
        "Repo Market Structure",
        "Reverse Repo",
        "Specific-Collateral Repo",
        "Treasury Market Practices Group"
    ]
}
```

```json
{
    "@context": "https://schema.org",
    "@type": "WebSite",
    "url": "https://options.greeks.live/",
    "potentialAction": {
        "@type": "SearchAction",
        "target": "https://options.greeks.live/?s=search_term_string",
        "query-input": "required name=search_term_string"
    }
}
```

```json
{
    "@context": "https://schema.org",
    "@type": "FAQPage",
    "mainEntity": [
        {
            "@type": "Question",
            "name": "What Is The Role Of Collateral And Tenor Customization?",
            "acceptedAnswer": {
                "@type": "Answer",
                "text": "A further strategic dimension is the expanded universe of eligible collateral and trade durations available in the NCCBR market. Central clearinghouses like FICC have strict limitations on the types of securities that can be used as collateral, typically restricting them to Fedwire-eligible securities. The NCCBR market has no such constraints. Participants seeking to finance positions in other asset classes, or execute specific-collateral trades on non-Fedwire securities, must use the bilateral market. Similarly, the centrally cleared market is dominated by overnight transactions. While longer-term trades are possible, the liquidity is concentrated at the very short end of the curve. The NCCBR market provides a venue for negotiating longer-term financing arrangements, which are essential for many investment strategies. This ability to tailor the transaction to the specific needs of the underlying strategy makes the NCCBR segment an indispensable tool for a wide range of market participants."
            }
        },
        {
            "@type": "Question",
            "name": "How Do Netted Packages Influence Market Strategy?",
            "acceptedAnswer": {
                "@type": "Answer",
                "text": "The ability to execute netted packages with zero haircuts is a cornerstone of many relative value strategies. Consider a hedge fund that believes a newly issued \"on-the-run\" 10-year Treasury is overpriced relative to the previous \"off-the-run\" 10-year Treasury. The fund would want to sell short the on-the-run security and buy the off-the-run security. The most capital-efficient way to achieve this is through the repo market."
            }
        }
    ]
}
```


---

**Original URL:** https://options.greeks.live/question/why-does-a-significant-non-centrally-cleared-repo-market-persist-alongside-central-clearing/
