Overnight, If approved, the CME will be able to offer futures trading directly without the need for a third-party introducing broker, FCM or trading platform. Today, they offer CME Direct, CME Direct Mobile, CME REST Order Entry API, CME ClearPort and CME DMA (iLink). When they work with a FCM, the CME spreads the risk by requiring 8% of SPAN margin from the FCM. The introducing broker is next in line for losses from the customer, then the FCM, then the exchange. Do "I" want the CME to be my FCM and my counterparty risk too, no. If I was a futures/option Market Maker using their direct iLink connection, maybe. As a retail client, not likely. Do I think the NFA/CFTC should allow a business with clear oligopoly in the futures business to expand vertically, no. Do I think they will approve it, yes. Do I think it will hurt smaller FCMs, not right away. Do I think it will hurt some FCMs, yes. This business requires scale. If some loose large volume customers, that will hurt, even though those clients pay VERY low rates. It is premature to know what the reason is for CME to have their own FCM today, but I expect they are concerned about future competition from other exchanges. They are looking 10 year in the future, not next year.