The Commodity Futures Trading Commission (CFTC) launched a digital asset pilot program on December 8, allowing bitcoin, ether, and USDC to be used as margin collateral in the derivatives market, which industry leaders have called a significant step for crypto adoption.
Acting Chair Caroline D. Pham announced this program along with new guidance on tokenized collateral and the withdrawal of Staff Advisory 20-34, which was a 2020 requirement that restricted the use of virtual currencies in separate accounts.
The trial program sets rigorous reporting and risk thresholds for a period of 3 months.
This announcement is in accordance with the passing of the GENIUS Act, which establishes a federal framework for stablecoins and payments. The law mandates that funds must be backed at a 1:1 ratio and limits issuance to approved entities.
This pilot program establishes a framework for futures commission merchants (FCMs) to accept digital assets that are not securities as customer margin collateral. In the first three months, eligible assets will be limited to BTC, ETH, and USDC. FCMs must submit weekly reports and inform regulators of any significant issues. FCMs clearing multiple derivatives clearing organizations must use the most conservative margin percentage across all DCOs.
My lead this year, CFTC has moved forward in the golden age of innovation and crypto in America,” Pham said. “Americans deserve a secure U.S. market as an alternative to offshore platforms.
The CFTC has also issued guidance allowing < authentic assets converted to tokens—including U.S. Treasury securities and money market funds—to serve as collateral under existing regulatory frameworks.
The industry responded quickly. Faryar Shirzad, head of policy at Coinbase, said, “Congress passed the GENIUS Act on a bipartisan basis to pave the way for stablecoins to become a vital payment instrument in our future financial system.
Kris Marszalek, CEO of Crypto.com, emphasized the practical implications. “This means 24/7 trading has become a reality in the United States.
Regulatory clarity could shift institutional capital from offshore markets to America.
This framework highlights the benefits of more efficient capital usage. Traditional margin requirements compel participants to hold cash or low-yielding securities, but digital asset collateral allows traders to maintain possession of crypto while complying with margin requirements.
However, operations will gradually take place. FCMs must build regulatory infrastructure, have a valuation process for the 24/7 market, and train staff. The industry will monitor the rollout in the coming months.
