CFTC Advisers Recommend Use of Tokenized Assets as Collateral

  • Advisory committee approves tokenized non-cash collateral
  • The approval will inform future rule-making by the CFTC

The Commodity Futures Trading Commission headquarters in Washington, DC.

Photographer: Ting Shen/Bloomberg
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The use of money-market fund tokens from the likes of BlackRock Inc. and Franklin Templeton as collateral in traditional derivatives trades inched closer to reality on Thursday.

The Global Markets Advisory Committee of the Commodity Futures Trading Commission voted to approve use of tokenized non-cash collateral and to send its recommendations to the full CFTC.