counterparty

noun

coun·​ter·​par·​ty ˈkau̇n-tər-ˌpär-tē How to pronounce counterparty (audio)
: a party to a financial transaction

Examples of counterparty in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
That distinction is becoming more relevant as investors look to reduce counterparty risk and diversify away from purely digital or paper-based holdings. Ascend Agency, New York Daily News, 4 May 2026 For decades, Washington projected its sanctions architecture on the assumption that no major counterparty would counterattack with a reciprocal one. Steve H. Hanke, Fortune, 4 May 2026 Unlike stocks or digital investments, physical silver carries no counterparty risk. Sharon Wu, USA Today, 15 Apr. 2026 Even if the financing structure is ring-fenced and backed by an investment-grade counterparty, the real risk may lie in whether an equity issue today later evolves into a credit problem over time. April Roach, CNBC, 6 Apr. 2026 See All Example Sentences for counterparty

Word History

First Known Use

1980, in the meaning defined above

Time Traveler
The first known use of counterparty was in 1980

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Cite this Entry

“Counterparty.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/counterparty. Accessed 10 May. 2026.

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