Public-domain · open source
OpenJurist

foreign currency contract

Defined in 1 dictionary — U.S. Code

United States Code

26 U.S.C. § 1256 — for purposes of this section

The term “foreign currency contract” means a contract—

(i) which requires delivery of, or the settlement of which depends on the value of, a foreign currency which is a currency in which positions are also traded through regulated futures contracts,

(ii) which is traded in the interbank market, and

(iii) which is entered into at arm's length at a price determined by reference to the price in the interbank market.