Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • TRADING
  • HACKING
  • SLOT
  • CASINO
  • SUBMIT
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • TRADING
  • HACKING
  • SLOT
  • CASINO
  • SUBMIT
Crypto Flexs
Home»TRADING NEWS»CFTC Vote on Allowing DLT-Based Collateral in Commodities and Derivatives Trading
TRADING NEWS

CFTC Vote on Allowing DLT-Based Collateral in Commodities and Derivatives Trading

By Crypto FlexsOctober 4, 20243 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
CFTC Vote on Allowing DLT-Based Collateral in Commodities and Derivatives Trading
Share
Facebook Twitter LinkedIn Pinterest Email
  • The CFTC subcommittee recommends the use of DLT-based collateral for transactions.
  • Approval could expand access to digital assets for smaller market participants.
  • Strong ETF inflows indicate growing institutional interest in digital assets.

In a significant development for the digital asset market, the U.S. Commodity Futures Trading Commission (CFTC) is reportedly considering a proposal that would allow the use of digital ledger technology (DLT)-based collateral for commodity and derivatives trading.

According to Bloomberg, the CFTC’s Global Markets Advisory Committee subcommittee recently voted to recommend the proposal. If approved, this proposal could streamline transactions and promote widespread adoption of digital assets in traditional finance.

One step toward mainstream adoption

If the proposal receives final approval from the main committee, the paradigm of transaction collateral management may change.

Adopting DLT-based collateral allows traders to use digital assets to settle transactions with the same speed and efficiency provided by digital ledger and blockchain technology.

This change will allow brokers to accept tokenized assets, such as BlackRock’s USD Institutional Digital Liquidity Fund (BUIDL) token, through the marketplace’s built-in system.

Using blockchain-based assets as collateral is already gaining attention from major financial institutions such as BlackRock and JP Morgan, but potential approval from the CFTC will spur broader adoption across the industry.

For now, only large corporations have been able to take advantage of these innovative financial products, but this move could open the door for smaller market players to enjoy similar benefits.

uncertainty ahead

Despite the positive momentum surrounding the proposal, several steps remain before it can be formally submitted for CFTC approval. The main committee must first review and approve the subcommittee’s recommendation, and there is no guarantee that the CFTC will approve the proposal in its current form.

Regulatory issues may arise as to which institutions and blockchains can participate, which could lead to potential restrictions that could limit the scope of the initiative.

Moreover, the broader context of digital assets in traditional finance cannot be ignored. Recent trends, such as strong inflows into physical Bitcoin exchange-traded funds (ETFs), indicate growing acceptance and interest in digital assets among institutional investors.

For example, BlackRock’s Bitcoin ETF recently outperformed its peers, recording the highest daily inflows of any fund on September 25th, marking the fifth consecutive day of inflows among all spot Bitcoin ETFs in the U.S. .

This surge in interest could impact the CFTC’s decision-making process as it considers the implications of allowing digital assets as collateral.

Throughout this process, stakeholders will closely monitor the regulatory environment as it continues to evolve, potentially paving the way for a more integrated future for digital assets in commodities and derivatives trading.


Share this article

Category

tag

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

NFT sales in August increased 2.78% in July 2025

September 1, 2025

Metaplanet’s bitcoin strategy is having trouble with stock plummet in the crisis of financing.

August 31, 2025

Four coins to be purchased as decisions for five branch XRP ETFs will be pushed until October.

August 30, 2025
Add A Comment

Comments are closed.

Recent Posts

EcoSync & CarbonCore Launch Full Stages Refi Infrastructure Linking Carbon Credits With Web3

September 1, 2025

NFT sales in August increased 2.78% in July 2025

September 1, 2025

Bitcoin Price Posts for 5 consecutive August losses: Will Michael Saylor react?

August 31, 2025

Metaplanet’s bitcoin strategy is having trouble with stock plummet in the crisis of financing.

August 31, 2025

Next chapter of ecosystem support program

August 31, 2025

Ether Lee (ETH) tests major support for $ 4,453 after the highest rejection.

August 31, 2025

BNB price forecast: Target $ 890- $ 900 in September 2025.

August 31, 2025

After BTS Star Jungkook has 39 billion hacking, South Korea will crack down on encryption fraud.

August 30, 2025

FY Energy Offers Industry-leading Cloud Computing Systems, Offering Opportunities For Daily Passive Income Of $7,580 Through Mining.

August 30, 2025

Four coins to be purchased as decisions for five branch XRP ETFs will be pushed until October.

August 30, 2025

Ethereum-Based Meme Project Pepeto ($PEPETO) Surges Past $6.5M In Presale

August 29, 2025

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

EcoSync & CarbonCore Launch Full Stages Refi Infrastructure Linking Carbon Credits With Web3

September 1, 2025

NFT sales in August increased 2.78% in July 2025

September 1, 2025

Bitcoin Price Posts for 5 consecutive August losses: Will Michael Saylor react?

August 31, 2025
Most Popular

SEC Cryptocurrency Enforcement Reaches Highs by 2023

January 28, 2024

Mastering Crypto Wallet Security: Protecting Your Digital Assets

December 28, 2023

Web 3 and AI experts have chosen Dubai as their new home, but why?

January 9, 2024
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2025 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.