The US CFTC is considering allowing stablecoins as collateral in derivatives markets, with public feedback open until Oct. 20. Stablecoins like USDC and USDT could be treated like traditional assets. The move is supported by crypto executives from Circle, Tether, Ripple Labs, Coinbase, and Crypto.com.

The GENIUS Act, signed by US President Donald Trump, aims to establish clear rules for payment stablecoins, with final regulations pending. The move to use stablecoins as collateral in derivatives markets is seen as a way to lower costs, reduce risks, and unlock liquidity globally 24/7/365.

The initiative to integrate stablecoins into regulated financial markets has been in the works since early 2025. It builds on the CFTC’s Crypto CEO Forum and aligns with the President’s Working Group on Digital Asset Markets recommendations. The move aims to drive efficiency and transparency in derivatives markets.

SEC Chair Paul Atkins is working on an innovation exemption for crypto companies to provide temporary relief from older securities rules as tailored regulations are developed. Project Crypto, announced in July, aims to modernize securities rules around crypto and move America’s financial markets to move onchain.

Read more at Cointelegraph: CFTC To Explore Stablecoins for Derivatives Collateral