The US CFTC has launched an initiative to explore the use of stablecoins as collateral in derivatives markets, with public input open until Oct. 20th.
“The public has spoken: tokenized markets are here, and they are the future,” said Pham. “For years I have said that collateral management is the ‘killer app’ for stablecoins in markets.”
The President’s Working Group report asked the CFTC to “provide guidance on the adoption of tokenized non-cash collateral as regulatory margin.” The latest move comes in response to this recommendation and also builds on the regulator’s Crypto CEO Forum held back in February 2025.
The Acting Chairman noted:
At our historic Crypto CEO Forum, we discussed how innovation and blockchain technology will drive progress in derivatives markets, especially for modernization of collateral management and greater capital efficiency.
The regulator has invited interested stakeholders to provide written feedback and suggestions on its website regarding the use of stablecoins as collateral in derivatives markets by October 20th. “The CFTC continues to move full speed ahead at the cutting edge of responsible innovation, and I appreciate the support of our industry partners,” added Pham.
From the graph, it’s visible that stablecoins have been in a phase of growth since 2024, with inflows only accelerating recently. During the past week alone, the market cap of these fiat-tied tokens has increased by over $4 billion.
In terms of the individual coins, Tether’s USDT continues to be the most dominant, with its market cap of $173 billion accounting for almost 59% of the sector.
Circle’s USDC ranks second with a market cap of $73 billion, significantly below USDT, but nonetheless dominant in its own right considering its lead over the third largest stablecoin.
At the time of writing, Bitcoin is floating around $112,800, down more than 3% over the last week.
