The U.S. CFTC launches a digital asset pilot program, allowing BTC, ETH, and USDC as collateral

According to CoinDesk, the U.S. Commodity Futures Trading Commission (CFTC) launched a pilot program on Monday that allows certain digital assets, such as Bitcoin, Ethereum, and USDC, to be used as collateral in the U.S. derivatives market.

Acting Chair Caroline Pham stated that this program is part of an initiative to establish rules for the use of tokenized collateral (including tokenized versions of real assets like U.S. Treasuries). Currently, only futures commission merchants (FCMs) that meet specific criteria can participate. These companies can use Bitcoin, Ethereum, USDC, and other payment stablecoins as margin for futures and swap trades, but must adhere to strict reporting and custody requirements.

For the first three months, they must disclose digital asset holdings weekly and report issues to the CFTC. In practice, registered firms can use Bitcoin as collateral for commodity leveraged swaps, and the CFTC will monitor risks and custody. The agency also issued a no-action letter allowing futures commission merchants to deposit certain digital assets into segregated customer accounts, provided that risks are strictly controlled.

The CFTC rescinded its 2020 guidance that hindered the use of cryptocurrencies as collateral, as the GENIUS Act has updated federal rules, rendering the guidance outdated. The CFTC emphasized that its rules remain technologically neutral, but tokenized versions of real assets (such as government bonds) must meet enforceability, custody, and valuation standards.