Sen. Blanche Lincoln's derivatives-spinoff plan gains support in Congress

Key word is lucrative. Any watered down regulation that forces derivative origination overseas will still have the same global impact as those originating in the US today. A derivative written anywhere has an impact everywhere.

An effort to force some of the nation's biggest banks to spin off their lucrative derivatives-dealing operations appears to be gaining traction, as members of a House-Senate conference begin finalizing details of far-reaching new financial regulations.

Source:washingtonpost.com