CFTC Launches Digital Assets Collateral Program for BTC, ETH, USDC
The Commodity Futures Trading Commission (CFTC) has approved Bitcoin, Ether, and USD Coin as eligible collateral in derivatives markets—a watershed moment for institutional crypto adoption. The pilot program establishes custody safeguards and valuation protocols while sunsetting restrictive 2020 guidelines.
Acting Chairman Caroline Pham framed the initiative as balancing innovation with risk management: 'This creates guardrails, not roadblocks.' The policy maintains technology neutrality, evaluating tokenized assets like Treasury notes under existing frameworks rather than crafting new rules.
Three-month phase includes weekly reporting requirements for futures commission merchants. Market participants note the MOVE signals growing regulatory clarity as the U.S. positions itself as a crypto derivatives leader.
