Indeed, we cannot find any other market where such a wide variety of financial and nonfinancial corporations transact on a daily basis. Over-the-counter (OTC) transactions prevail, and the electronic trading venues are also diverse, ranging from brokers to single- and multiple-dealer platforms. Regulatory settings covering foreign exchange transactions are also diverse in a range of jurisdictions.
A principle-based approach, rather than a prescriptive rule-based approach, is well suited to address such a diversity of participants and a complexity in market structures across the globe.