Core Viewpoint - The China Financial Futures Exchange (CFFEX) is proposing revisions to its trading and settlement rules, seeking public feedback on the draft regulations to enhance the regulatory framework and improve risk management practices in futures trading [1]. Group 1: Regulatory Enhancements - The revised trading rules will incorporate new legal bases, including the Futures and Derivatives Law and relevant regulations from the China Securities Regulatory Commission (CSRC) [1]. - The scope of the trading rules will be expanded to cover not only futures trading but also related activities, ensuring comprehensive regulatory oversight [1]. Group 2: Adaptation to Registration System - The trading rules will align with the registration system, specifying that only products registered with the CSRC can be listed on the exchange, including futures and options contracts [1]. Group 3: Trader Suitability and Risk Management - The rules will upgrade the trader suitability system, requiring members to establish and execute suitability protocols, ensuring that clients are fully informed of trading risks and that products match their risk tolerance [1]. - Members must continuously assess client information and risk capacity, enhancing client management practices [1]. Group 4: Reporting and Risk Control - A new reporting system for algorithmic trading will be introduced, mandating members and clients to report relevant information to ensure the security and order of the trading system [1]. - The trading rules will also refine the risk control framework, detailing procedures for handling exceptional situations and optimizing self-regulatory and dispute resolution mechanisms [1].