---
kind: "section"
citation: "31 C.F.R. § 589.512"
title: "31"
number: "589.512"
heading: "Certain transactions related to derivatives prohibited by § 589.202, § 589.203, or § 589.204."
url: "https://uscodex.org/cfr/31/589.512"
---

# §589.512. Certain transactions related to derivatives prohibited by § 589.202, § 589.203, or § 589.204.

- (a) All transactions by U.S. persons, wherever located, and transactions within the United States involving derivative products whose value is linked to an underlying asset that constitutes prohibited debt issued by a person subject to [§ 589.202](/cfr/31/589.202.md), [§ 589.203](/cfr/31/589.203.md), or [§ 589.204](/cfr/31/589.204.md), or prohibited equity issued by a person subject to [§ 589.202](/cfr/31/589.202.md), are authorized.
- (b) This section does not authorize the holding, purchasing, or selling of underlying assets otherwise prohibited by [§ 589.202](/cfr/31/589.202.md), [§ 589.203](/cfr/31/589.203.md), or [§ 589.204](/cfr/31/589.204.md) by U.S. persons, wherever are located, or within the United States.

## Notes

### Authority

Authority: 3 U.S.C. 301; 22 U.S.C. 8901-8910, 8921-8930; 31 U.S.C. 321(b); 50 U.S.C. 1601-1651, 1701-1706; Pub. L. 101-410, 104 Stat. 890, as amended (28 U.S.C. 2461 note); Pub. L. 115-44, 131 Stat. 886 (codified in scattered sections of 22 U.S.C.); E.O. 13660, 79 FR 13493, 3 CFR, 2014 Comp., p. 226; E.O. 13661, 79 FR 15535, 3 CFR, 2014 Comp., p. 229; E.O. 13662, 79 FR 16169, 3 CFR, 2014 Comp., p. 233; E.O. 13685, 79 FR 77357, 3 CFR, 2014 Comp., p. 313., E.O. 13849, 3 CFR, 2018 Comp., p. 875, E.O. 14065, 87 FR 10293, 3 CFR, 2022 Comp., p. 340.

### Source

Source: 87 FR 26099, May 2, 2022, unless otherwise noted.