The Commodity Futures Trading Commission (CFTC) has launched a new initiative. It will allow tokenized collateral, including stablecoins, in U.S. derivatives markets. The plan builds on the CFTC’s Crypto CEO Forum held earlier this year. It also aligns with recommendations from the President’s Working Group on Digital Asset Markets.
Industry Leaders Back CFTC’s Stablecoin Collateral Initiative
Acting Chairman Caroline Pham made the announcement via a press release. She described it as a critical step toward modernizing collateral management and boosting efficiency in financial markets.
Pham explained that tokenized collateral will help market participants use capital more effectively and create stronger conditions for U.S. economic growth. She called stablecoins the “killer app” for collateral management and emphasized the CFTC’s commitment to responsible innovation. Recently, the CFTC cleared Polymarket to launch in the U.S., underlining its openness to digital asset platforms.
Industry leaders have already expressed strong support for the initiative. Circle President Heath Tarbert said the GENIUS Act enables American-issued stablecoins such as USDC to be used as collateral.
He noted that stablecoins would cut costs, lower risk, and unlock liquidity across markets operating around the clock. Coinbase Vice President Greg Tusar agreed, saying stablecoins could transform derivatives trading and keep U.S. markets aligned with regulatory innovation from Congress and the Administration.
Ripple also welcomed the move. Jack McDonald, the firm’s senior vice president of stablecoins, emphasized the need for clear rules on valuation and custody. He added that settlement clarity is also essential for stablecoin adoption by institutions.
McDonald further said that stablecoin integration would create efficiency, strengthen trust, and position the U.S. as a leader in financial innovation. Crypto.com’s Kris Marszalek praised the effort as a way to expand the use of non-cash collateral, including crypto assets, within regulated markets.
CFTC Seeks Public Input to Shape Stablecoin Collateral Framework
The CFTC is inviting the public to submit feedback on the stablecoin initiative, with comments open until October 20 on the agency’s website. The U.S. Treasury has also sought public input on GENIUS Act stablecoin rules, showing coordination among the top two U.S. regulators.
With this step, stablecoins move closer to becoming part of the core structure of regulated financial markets in the United States. The CFTC also highlighted that this work is a continuation of earlier recommendations from its Global Markets Advisory Committee. That committee urged regulators to adopt tokenized non-cash collateral through distributed ledger technology to improve transparency and efficiency.
The initiative is also consistent with calls from the President’s Working Group for the CFTC to provide guidance on collateral management using digital assets. Pham has previously suggested a regulatory sandbox to pilot new approaches for digital asset markets.
She said pilot programs have helped regulators adapt to innovation in the past and could provide similar benefits now.
Source: https://coingape.com/cftc-launches-stablecoin-collateral-initiative-for-u-s-derivatives/
