CFTC Pilot Allows Bitcoin as Collateral in U.S. Derivatives Markets
The post CFTC Pilot Allows Bitcoin as Collateral in U.S. Derivatives Markets appeared on BitcoinEthereumNews.com.
The CFTC crypto collateral pilot program allows Bitcoin, Ethereum, and USDC to serve as margin collateral in regulated U.S. derivatives markets, providing a framework for tokenized assets under strict oversight. This initiative, announced on December 8, enhances capital efficiency and regulatory certainty for market participants. CFTC’s pilot enables futures commission merchants to accept BTC, ETH, and USDC as collateral with weekly reporting requirements. The program extends to tokenized real-world assets like U.S. Treasury securities, focusing on custody and risk management. According to CFTC data, this step supports over $1 trillion in annual derivatives trading by integrating digital assets safely. CFTC crypto collateral pilot revolutionizes U.S. derivatives markets by accepting Bitcoin and Ethereum as margin. Discover regulatory impacts and benefits for institutions. Stay informed on tokenized asset advancements today. What is the CFTC Crypto Collateral Pilot Program? The CFTC crypto collateral pilot program is a regulatory initiative launched by the Commodity Futures Trading Commission to permit the use of digital assets like Bitcoin, Ethereum, and USDC as collateral in derivatives trading. Announced on December 8, it establishes clear guidelines for tokenized collateral, superseding outdated restrictions and promoting integration of crypto into mainstream finance. Acting Chairman Caroline Pham emphasized that this framework ensures robust risk management while fostering innovation in U.S. markets. How Does the CFTC Pilot Program Affect Tokenized Assets in Derivatives Markets? The CFTC pilot program directly impacts tokenized assets in derivatives markets by allowing futures commission merchants (FCMs) to accept them as margin collateral during an initial phase, subject to stringent weekly reporting and segregation protocols. This setup enables real-time monitoring by CFTC staff to assess risks associated with digital asset volatility. For instance, the program covers tokenized versions of traditional assets such as U.S. Treasury securities and money-market funds, specifying standards for custody, valuation, and legal enforceability to…
Filed under: News - @ December 9, 2025 2:29 am