# Commission Delegated Regulation (EU) 2016/2020 of 26 May 2016 supplementing Regulation (EU) No 600/2014 of the European Parliament and of the Council on markets in financial instruments with regard to regulatory technical standards on criteria for determining whether derivatives subject to the clearing obligation should be subject to the trading obligation (Text with EEA relevance), Article 4: Number and type of active market participants

Extent: E+W+S+N.I.

1. In relation to the number and type of active market participants, ESMA shall take into consideration the following elements:
(a) the total number of market participants trading in that class of derivatives or relevant subset thereof is not lower than two;
(b) the number of trading venues that have admitted to trading or are trading the class of derivatives or a relevant subset thereof;
(c) the number of market makers and other market participants under a binding written agreement or an obligation to provide liquidity.
2. ESMA analysis shall compare the ratio of market participants to the findings in the data obtained for the analyses of average size of trades and the average frequency of trades.

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Source: https://www.legislation.gov.uk/eur/2016/2020/article/4 (the official version)
Page: https://openlegislation.uk/eu-regulation-2016-2020/article-4
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.