Simply put
- CFTC Representative Chairman Caroline Fam has announced an initiative to integrate tokenized collateral, including Stablecoins, into the US derivatives market.
- The move comes as Congress considers legislation that could change more crypto surveillance from the SEC to the CFTC.
- Industry leaders at Ripple, Circle and Crypto.com supported the initiative as efficiency, trust and improving US competitiveness.
Commodity Futures Trade Commission launches new initiatives allowing tokenized collateral such as stablecoins Acting Chairman Caroline D. Fam announced on Tuesday for use in the derivatives market.
Fam said the move aims to modernize collateral management, promote capital efficiency and accelerate US economic growth.
“Since January, the CFTC has taken clear action to signal the arrival of American golden age codes,” Fam said in a statement. “The historic Crypto CEO Forum discussed how innovation and blockchain technology can drive advancement in the derivatives market, particularly for collateral management and increased capital efficiency.”
“These market improvements will unleash US economic growth as market participants can move forward smarter and smarter,” she added.
CFTC Cryptography Push
This announcement is the latest step in CFTC’s Crypto Sprint. This promotion is a law in which US lawmakers will weigh the Clarity Act and define the line of jurisdiction between the CFTC and the Securities and Exchange Commission (SEC), particularly when it comes to crypto.
Under the bill passed by the House of Representatives in July, it was almost Cryptocurrency It is classified as a product and allows for broader monitoring than industry CFTCs.
Agents aren’t just there to adapt to the shift market. In September, SEC Chairman Paul Atkins and Fam issued a joint statement proposing a “24/7 market” policy to align traditional financial exchanges with 24-hour crypto, gold and forex activities. The two regulators will discuss further proposals at a roundtable later this month.
Deepen the tie
Crypto companies are embracing CFTC’s latest moves, and statements shared by CFTC from industry leaders highlight the increasingly close relationship between civil servants and the crypto industry.
Crypto.com CEO Kris Marszalek said the initiative follows industry calls to bring innovation back to the US market.
Jack McDonald, SVP of Stablecoins at Ripple, added that “the agency will provide the necessary certainty and the guardrails on reserves and governance will build trust and resilience.”
Circle president Heath Tarbert, called tokenized collateral, has reduced costs, reduced risk in the global market and unlocked liquidity.
But while supporters point to increased efficiency and innovation, critics can warn of the comfort between the Trump administration and the crypto industry, and mitigate the protection measures just as Washington is committed to defining the future of digital asset surveillance. Last month, U.S. Sen. Elizabeth Warren (D-MA) argued that the crypto industry should not be allowed to “write its own laws,” and recently raised concerns about the Trump administration’s “relationship with crypto exchange vinance.”
The CFTC is inviting public comments on the plans through October 20th. Feedback topics include potential pilot programs, rule modifications, and other issues related to collateral management.
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