coun·​ter·​par·​ty | \ ˈkau̇n-tər-ˌpär-tē How to pronounce counterparty (audio) \

Definition of counterparty

: a party to a financial transaction

Examples of counterparty in a Sentence

Recent Examples on the Web

The implication is that as the economy slows, and as big banks grow wary of counterparty risk, more small banks will be exposed. The Economist, "After three Chinese banks are bailed out, how many more are at risk?," 5 Sep. 2019 But there is a real lack of information on the size of and counterparty to these exposures. Paul J. Davies, WSJ, "Banks and Private Markets: Making Fresh Connections," 8 Aug. 2018 The original proposal would have limited counterparty exposure between the largest banks to 10% of capital. Lalita Clozel, WSJ, "Fed Limits Credit Exposure Big Banks Can Have With Each Other," 14 June 2018 In business, sure, suddenly pulling out of a deal in order to scare your counterparty into meeting your terms can work, sometimes. Jonah Shepp, Daily Intelligencer, "Trump’s Credibility Problem Is Now America’s," 26 May 2018 The appeals court’s latest decision hinged on evidence regarding whether Mr. Litvak was acting as a principal in his own interest, or as an agent for a counterparty on the trade. Chelsey Dulaney, WSJ, "Former Jefferies Trader Litvak’s Conviction Is Tossed Out," 3 May 2018 Instead, as alleged, Pierce had forged counterparty signatures on contract after contract. Aisha Al-muslim, WSJ, "Former CEO of Alaska Telecom Firm Accused of Fraud," 12 Apr. 2018 On many smaller exchanges, that isn’t happening, and retail investors are exposing their money to a kind of counterparty risk from the exchanges themselves, said Jonathan Levin, chief executive of research firm Coinanlysis. Paul Vigna, WSJ, "Crypto Investing Comes With a Big Risk: The Exchanges," 3 Mar. 2018 Gecamines was a key counterparty in many of Gertler’s most lucrative copper deals. Thomas Wilson,, "Congo Bribery Probe Puts Israeli Billionaire’s Future on Hold," 23 Feb. 2018

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'counterparty.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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First Known Use of counterparty

1980, in the meaning defined above

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Last Updated

20 Sep 2019

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The first known use of counterparty was in 1980

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