The Ontario Securities Commission is seeking comment on an application from ICE Futures U.S. for an exemption from being required to register as an exchange.

The firm, which offers both electronic trading and floor trading of a variety of futures and options contracts in the U.S., is proposing to offer direct electronic access to trading in its contracts to Ontario residents (likely dealers and companies seeking to hedge exposures), according to a notice from the OSC.

ICE Futures U.S. has applied for an exemption from the registration and recognition requirements on the basis that it is already subject to regulatory oversight by the Commodity Futures Trading Commission in the U.S.

The OSC says that in its application, ICE Futures U.S. has outlined how it meets each of the criteria for exemption from recognition and registration. Subject to comments received, OSC staff intend to recommend that the commission grant an exemption order (with certain terms and conditions), it reports.

The OSC is now seeking comment on the application and the draft exemption order by July 6.