The tools would also need to be designed in such a way that counterparties cannot evade them by booking their transactions in a different jurisdiction. A sound implementation principle would be to apply these tools directly to transactions, regardless of the market, jurisdiction or infrastructure where the transactions were booked.
One way to ensure consistency and avoid arbitrage would be to set these requirements via market-wide regulation in Union law, in line with the implementation approach recommended by the FSB for their minimum haircut framework.