EU Committee OKs Gold As Collateral

The European Parliament’s Committee on Economic and Monetary Affairs has approved a proposal to allow clearing houses to accept gold as collateral.

The European Parliament’s Committee on Economic and Monetary Affairs has approved a proposal to allow clearing houses to accept gold as collateral, The Wall Street Journal reports. The proposal was passed under the European Market Infrastructure Regulation.

ICE Clear Europe became the first clearing house in Europe to accept gold as collateral in 2009. JP Morgan became the first bank to accept gold bullion as collateral via its tri-party collateral management arm earlier this year.

Click here for the story from The Wall Street Journal.

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