122. Except for cases where margin lending is reported, or when a transaction involves commodities, counterparties should always populate the Central Securities Depository (CSD) participant or indirect participant field. The field should be reported even if the SFT settles outside of a CSD. ESMA expects that the reporting counterparty should report this field using the following logic:
a. Report its own LEI if it is settling directly at any CSD, i.e. it is a CSD participant;
b. Report its own LEI if it is settling securities at any of the two ICSDs even where the ICSD is not the issuer CSD, i.e. it the counterparty is an ICSD participant;
c. Report the LEI of its custodian bank irrespective of whether the custodian is using any sub-custodian or not. This includes scenarios when a counterparty uses an Agent Lender.
123. The counterparty should not report the LEI of the CSD in which they are either direct or indirect participants in the "CSD Participant" field.