CFTC’s Treasury Reform Paves Way for Crypto Market
The Commodity Futures Trading Commission (CFTC) is quietly laying the plumbing for a market structure where US Treasuries and cryptocurrencies could eventually live side-by-side.
On December 12, the CFTC approved an expansion of cross-margining for US Treasuries.
This change allows certain customers, not just clearing members, to offset margin requirements between Treasury futures cleared at CME Group. CME Group is one of the largest crypto derivatives trading platform in the US.
It also applies to cash Treasuries cleared at the Depository Trust and Clearing Corporation’s Fixed Income Clearing Corporation.
“Expanding cross-margining to customers will provide capital…
