---
type: "AIHallucinationFinding"
title: "What trading venues does CFTC Staff Letter 25-49 specifically address for the treatment of…"
citation_id: "RLB-H-US-CFTC-SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025-Q003-Opus47"
finding_uid: "US-CFTC-US-001-SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025-v1-003--opus-47-websearch"
question_uid: "US-CFTC-US-001-SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025-v1-003"
regulation_id: "US-CFTC-US-001-SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025"
regulation_slug: "SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025"
regulation_title: "Revisions to Business Conduct and Swap Documentation Requirements for Swap Dealers and Major Swap Participants"
regulator_short_code: "CFTC"
regulatory_body_id: "CFTC-US-001"
jurisdiction_code: "US"
j_level: "J3"
ai_subject: "claude-opus-4-7"
ai_subject_display: "Claude Opus 4.7 (web search on)"
ai_subject_version: "opus-47-websearch"
response_failure_mode: "inference_drift"
substrate_document_name: "cftc-final-rule-2025-23953-fr-90fr61226.pdf"
substrate_document_path: "https://reglegbrief.com/substrate/US/CFTC/SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025/_raw_manual_substrate/cftc-final-rule-2025-23953-fr-90fr61226.pdf"
substrate_section_anchor: "Federal Register Vol. 90 No. 246 at 61227, fn. 33"
citation_issue_types: ["Contradictory", "Pretextual"]
audiences: ["ai_labs"]
published_at: "2026-06-03T21:50:35.679894+00:00"
substrate_version: 1
methodology_version: "2.3"
license: "CC-BY-4.0"
resource: "https://reglegbrief.com/regulators/j3/us/cftc/SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025/ai-labs/finding/US-CFTC-US-001-SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025-v1-003--opus-47-websearch/"
tags: ["ai-hallucination", "inference_drift", "cftc", "swap-dealer-business-conduct-documentation-2025", "us"]
timestamp: "2026-06-16T00:00:00+00:00"
---

# AI Hallucination Finding: What trading venues does CFTC Staff Letter 25-49 specifically address for the treatment of…

- **Citation ID.** `RLB-H-US-CFTC-SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025-Q003-Opus47`
- **Finding UID.** `US-CFTC-US-001-SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025-v1-003--opus-47-websearch`
- **Regulation.** [`SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025`](/okf/regulations/SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025.md) — Revisions to Business Conduct and Swap Documentation Requirements for Swap Dealers and Major Swap Participants
- **Regulator.** [`CFTC-US-001`](/okf/bodies/CFTC-US-001.md) — Commodity Futures Trading Commission
- **AI subject.** Claude Opus 4.7 (web search on)
- **Failure mode.** [`inference_drift`](/okf/taxonomy/failure-modes.md)
- **Published.** 2026-06-03T21:50:35.679894+00:00

## Question put to the AI subject

What trading venues does CFTC Staff Letter 25-49 specifically address for the treatment of intended-to-be-cleared swaps, and which prior no-action letter does it supersede in its entirety?

## AI subject's verbatim answer

(i) swaps that the parties intend to clear contemporaneously with execution ('ITBC swaps') where the swap dealer does not know the identity of its counterparty pre-execution, and (ii) ITBC swaps initiated on a swap execution facility or designated contract market.

## Verbatim regulator text contradicting the answer

> Consequently, MPD issued CFTC Staff Letter 23-01, which superseded CFTC Staff Letter 13-70 in its entirety. CFTC Staff Letter 23-01 provided a revised MPD no-action position, which incorporates, expands on, and refines the MPD no-action position presented in CFTC Staff Letter 13-70 with regard to compliance with certain External Business Conduct Standards by Swap Entities, and clarifies its no-action position regarding documentation requirements under the STRD Requirement.

_Source:_ [cftc-final-rule-2025-23953-fr-90fr61226.pdf](https://reglegbrief.com/substrate/US/CFTC/SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025/_raw_manual_substrate/cftc-final-rule-2025-23953-fr-90fr61226.pdf)
_Section anchor:_ Federal Register Vol. 90 No. 246 at 61227, fn. 33

## Failure mode

**`inference_drift`** — Inference drift — the AI inferred a conclusion the regulator's text does not warrant, often by combining unrelated provisions.

## Citation-issue types

- **Contradictory** — <https://www.cftc.gov/csl/25-49/download>
- **Contradictory** — <https://www.federalregister.gov/documents/2025/12/30/2025-23953/revisions-to-business-conduct-and-swap-documentation-requirements-for-swap-dealers-and-major-swap>
- **Contradictory** — <https://www.sullcrom.com/SullivanCromwell/_Assets/PDFs/Memos/sc_publication_CFTC_revises_no_action_relief_waps_intended_to_be_cleared.pdf>
- **Pretextual** — <https://www.lexology.com/library/detail.aspx?g=a14716ee-5a28-4e31-8adc-46d20e3fba17>

## Related concepts

- Regulation: [SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025](/okf/regulations/SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025.md)
- Regulator: [CFTC-US-001](/okf/bodies/CFTC-US-001.md)
- Failure-mode taxonomy: [inference_drift](/okf/taxonomy/failure-modes.md)
- Methodology: [v2.3](/okf/methodology.md)
- Editorial standards: [right of reply](/okf/editorial-standards.md)

## Reproduction

Citation ID: `RLB-H-US-CFTC-SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025-Q003-Opus47`

Resource URL (HTML view of this finding):

<https://reglegbrief.com/regulators/j3/us/cftc/SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025/ai-labs/finding/US-CFTC-US-001-SWAP-DEALER-BUSINESS-CONDUCT-DOCUMENTATION-2025-v1-003--opus-47-websearch/>

This finding is reproducible against the substrate document linked above, using the same AI subject, the same methodology version, and the verbatim question text.