'Huge Step': Coinbase CEO Hails CFTC Crypto Move

Cover image via U.Today Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available. Read U.TODAY on Google News Coinbase CEO Brian Armstrong praises the recent move by CFTC to allow select digital assets to be used as collateral on U.S. derivatives markets, describing it as a "huge step in updating the financial system." Advertisement A huge step in updating our financial system. Thanks to Acting Chair @CarolineDPham and the CFTC for getting this done. https://t.co/mI0nejwarU — Brian Armstrong (@brian_armstrong) December 9, 2025 The Commodity Futures Trading Commission (CFTC) has launched a pilot program allowing select digital assets, including BTC, ETH, USD Coin (USDC) or other payment stablecoins to be used as collateral on U.S. derivatives markets. HOT Stories Standard Chartered: Bitcoin Halving Cycles Are Over Morning Crypto Report: Ripple CTO Says XRP Holdings Are Undervalued, Andrew Tate Declares He's 'Huge on Bitcoin,' Solana Drops Rare XRP Mention Shiba Inu Whale Activity Hits Highest Level Since June Crypto Market Prediction: No Bitcoin, $100,000 Next Time, Is Shiba Inu (SHIB) Wearing Bull Horns Again? XRP Becoming Dominant Announced by Acting Chairman Caroline Pham, the program is part of a broader push to provide clear rules for market participants using tokenized collateral, including tokenized versions of real-world assets like U.S. Treasuries. Advertisement The CFTC started working to allow stablecoins to be used as collateral for certain products earlier this year. Crypto utility unlocked CFTC has also issued a no-action letter giving FCMs limited permission to hold certain digital assets in segregated customer accounts, provided they manage risks carefully. The agency has withdrawn older guidance from 2020 that had in prior times prevented the use of crypto as collateral in many cases. That advisory is now taken to be outdated, in light of the GENIUS Act, which updated federal rules around digital assets, including stablecoins. Coinbase Chief Legal Officer Paul Grewal praised the move. "Today’s no-action relief from  CFTC unlocks the use of digital assets as collateral in derivatives markets. Staff Advisory 20-34 was a concrete ceiling on innovation. It relied on outdated info, went well beyond the bounds of regulation and frustrated the goals of the PWG.  for your vision and leadership," Grewal wrote in a tweet. In a major milestone for institutional crypto adoption, Coinbase’s Crypto-as-a-Service platform is now powering PNC Bank's launch of direct Bitcoin trading for PNC Private Bank clients, the first to market with such an offering among the major U.S. banks. #Brian Armstrong #CFTC #Cryptocurrency