Are swaps regulated?

[cadbury]

I am trying to decipher the meaning of Sections 205 and 206 of the Gramm-Leach-Bliley Act, specifically regarding regulation of swap contracts. I am not a lawyer, but it seems to say that banks can trade swap contracts without registering as broker dealers. My questions are

1) do you have to be a bank to be exempted?
2) are swaps that do not transfer ownership of a security, but derive value from it qualify? or is it only interest rate swaps etc?

Thanks!

 

[jharris352]

That question is far more complex than it seems. I have a passing understanding of it but I doubt any of us can answer your question with any confidence.