OTC contract in which the protection buyer pays a periodic spread s on a notional N to the protection seller in exchange for (1-R)· N contingent on a credit event of the reference entity (where R is recovery). At inception the par CDS spread satisfies the credit triangle approximation s ≈ h,(1 - R), where h is the hazard rate. ISDA's 2009 'Big Bang' standardised running coupons (100/500 bp) plus an upfront — a CDS now trades on upfront, with par-equivalent spread reported. Standardised contracts cleared via ICE Clear Credit.