liquidity fragmentation
as defined in Regulation (EU) No 600/2014 of the European Parliament and of the Council of…, Article 2(1), point (45) (Definitions)
a situation in which: (a) participants in a trading venue are unable to conclude a transaction with one or more other participants in that venue because of the absence of clearing arrangements to which all participants have access; or (b) a clearing member or its clients would be forced to hold their positions in a financial instrument in more than one CCP which would limit the potential for the netting of financial exposures;