The US Commodity Futures Trading Commission is looking to allow tokenized assets, including Stablecoins, which will be used in the derivatives market as collateral in a move supported by crypto executives.
Cftc acting chair caroline pham Says On Tuesday his agency will “cooperate closely with stakeholders” in the scheme and encourage comment on the use of tokenized collateral in the market derivatives until October 20.
“The public spoke: the tokenized markets were here, and they were the future. For many years I said collateral management was the ‘killer app’ for stablecoins in the markets.”
If implemented, stablecoins such as the USDC (USDC) and tether (USDT) will be considered similar to traditional collateral such as cash or US treasurys in regulated derivatives trading. Congresses passed the laws earlier this year controlling stablecoins, which has been seen Their adoption grows Among the financial institutions.
Stablecoin, crypto heavyweights back move
Crypto Executives from Stablecoin Issuers Circle Internet Group, Tether, Ripple Labs and Crypto Exchanges Coinbase and Crypto.com all provided their seal of approval for CFTC transfer.
Circle President Heath Tarbert said the Genius Act “creates a world where stablecoins in payment issued by licensed American companies can be used as collateral in derivatives and other traditional financial markets.”
“The use of trusted stablecoins such as the USDC as collateral will lower costs, reduce risk, and unlock liquidity throughout the global market 24/7/365,” Tarbert added.
US president Donald Trump Signed the Genius Act in law in July. It is focused on establishing clear policies for payment stablecoins, but still await final regulation prior to implementation.
Coinbase Chief Legal Officer Paul Grewal also supported the transition, and Says In an X post on Tuesday that “tokenized collateral and stablecoins could unlock US derivatives markets and prioritize us in global competition.”
Meanwhile, Jack McDonald, senior vice president of Stablecoins in Ripple, said the initiative was a key step toward integrating Stablecoins into the “heart of regulated market markets,” and driving greater efficiency and transparency in derivatives markets.
“Establishing clear policies for appreciation, care, and regulating will give institutions the assurance they need, while the guards in reserves and management will develop confidence and stability.”
Initiative to works since early 2025
Pham said the tokenized asset initiative will build the CFE CEO CEO and also part of the previous announced crypto sprint To apply the president’s working group to recommendations to digital asset markets.
The Crypto CEO Forum in February Call for the crypto industry CEO to provide input to an upcoming digital asset pilot program and discussed the use of tokenized non-cash collateral.
Related: CFTC added crypto leaders to the Digital Asset Group, JPMorgan Exec tapped for co-chair
The CFTC Global Advisory Committee also released a recommendation last year from the Subcomm Committee of Digital Assets to expanding the use of non-cash collateral by Shared ledger technology.
The US Crypto regulation is changing
Pham’s announcement arrives on the same day as the Securities and Exchange Commission Chair Paul Atkins his agency said working on a change in change That acts as a carve-out regulation, providing temporary relief of crypto companies from older security rules as the SEC develops specialized regulations.
He too Project Crypto announced in JulyThat hopes to modernize security policies and regulations around the crypto and move American financial markets to move onchain.
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