Blockchain native assets are emerging in the derivation market

As the trading ecosystem of crypto assets continues to evolve, more and more platforms are beginning to adopt blockchain native assets as collateral to enhance the efficiency of the derivation market. Among them, stablecoins like USDC and tokenized government bonds are gradually gaining favor with institutional participants due to their stability, profitability, and compliance.

Recently, the derivatives department of a large cryptocurrency exchange announced that after obtaining regulatory approval from the Commodity Futures Trading Commission (CFTC), USDC will be accepted as collateral for margin futures. This marks the first time USDC has been used as collateral in the U.S. futures market. The CEO of the exchange stated that they will work closely with the CFTC to drive this innovation forward. It is noteworthy that this integration will rely on a qualified custodian regulated by the New York Department of Financial Services.

At the same time, tokenized government bonds have begun to emerge in the derivatives market. Recently, the digital asset company Securitize announced that a dollar-denominated institutional digital liquidity fund (BUIDL) from a major asset management giant can now be used as collateral on two well-known cryptocurrency exchanges. This token represents a short-term yield fund backed by cash and U.S. Treasury bonds, with assets under management reaching $2.9 billion. By accepting BUIDL as margin, these platforms allow institutional traders to gain additional returns while engaging in leveraged trading.

These latest developments highlight that the market structure is shifting towards greater efficiency and transparency. Industry insiders point out that assets like USDC can achieve almost instant settlement and are widely recognized across various trading platforms. The co-founder and CEO of Securitize also stated that tokenized government bonds are being actively applied in some leading trading venues to enhance capital efficiency and risk management levels while maintaining profitability.

These measures also echo the suggestions made by CFTC acting chair Caroline D. Pham last November. She encouraged companies to explore the use of distributed ledger technology for non-cash collateral and pointed out that asset tokenization has had several successful cases, including the issuance of digital government bonds in the Eurasian region and large-scale institutional repurchase and payment transactions on corporate Blockchain platforms.

With the gradual clarification of the regulatory environment and the continuous maturity of technology, the application prospects of blockchain native assets in traditional financial markets are becoming increasingly broad. This not only helps improve market efficiency but also provides participants with more diversified investment and risk management options.