Multi Commodity Exchange of India (MCX) on October 8 said it has received approval from the SEBI Technology Panel to launch a new web-based commodity derivatives platform (CPD) after several delays with the market regulator.
“Subsequently, the SEBI Technical Advisory Committee recommended that MCX and MCXCCL may go live with the CDP and inform SEBI of the proposed date of go live,” MCX said in a regulatory filing.
This development was first reported on October 6 by CNBC-TV18 citing sources.
Over the past month, stocks on the Mumbai-based commodity exchange rose 18 percent against a 1.4 percent rise in the benchmark Sensex. On October 6, the scrip closed up 5.06 per cent at Rs 2,047.95 apiece.
The approval comes after the Securities and Exchange Board of India (SEBI) on September 29 asked the company to postpone the proposed go-live of its new commodity derivatives platform planned for the first week of October.
However, SEBI has now withdrawn its ‘obeyance’ order and asked the company to propose a ‘go-live’ date on the new platform.
MCX said earlier this week that its commodity derivatives platform will go live on October 3.
At the time, MCX said in a statement that SEBI would discuss the platform in its technical advisory committee meeting to be held soon.
SEBI’s intervention came after investor group Chennai Financial Markets and Accountability (CFMA) asked for confirmation that MCX needed technical support and filed a public interest litigation in the Madras High Court in December 2022.
Meanwhile, in a circular dated September 27, the company said the new CDP platform will interface with members for risk management, collateral management and settlement of related services to members and market participants.
