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- CFTC forms CEO council to assess crypto-driven shifts in derivatives market structure

- New pilot lets FCMs use BTC, ETH, and USDC as in-kind collateral under strict limits

- CFTC affirms existing rules apply to tokenized RWAs to maintain consistent risk oversight

The Commodity Futures Trading Commission has named the inaugural members of its CEO Innovation Council, setting up a direct channel between the agency and executives overseeing developments in crypto-linked derivatives and tokenization.

The council was assembled within a two-week window to help the regulator evaluate how changes in digital assets, 24-hour trading environments, and new collateral models are influencing U.S. derivatives markets.

The council includes Polymarket CEO Shayne Coplan, Gemini (NASDAQ: $GEMI ) co-founder Tyler Winklevoss, and Kraken co-founder Arjun Sethi. They are joined by executives from Nasdaq, the Intercontinental Exchange, CME Group, and Cboe Group. Sources indicated that their participation is intended to support the agency's review of how tokenization and blockchain infrastructure may affect clearing, settlement, and market-structure practices.

Acting CFTC Chair Caroline Pham expressed appreciation for the executives who agreed to contribute. She stated that their involvement will help the commission study developments tied to crypto assets, perpetual futures, prediction markets, and the systems that support round-the-clock trading.

Council Launch Coincides With New Pilot on Digital Asset Collateral

The announcement comes as the agency introduces a limited pilot program allowing Futures Commission Merchants regulated by the CFTC to accept Bitcoin, Ether, and USDC as in-kind collateral for contracts denominated in those same assets. Pham described the pilot as constrained by design, noting that it does not permit the use of digital assets as substitutes for cash and requires enhanced monitoring.

Under the framework, collateral must match the asset underlying the contract. For example, Bitcoin (CRYPTO:$BTC ) may be used only for Bitcoin-denominated contracts. The pilot also mandates weekly reporting on positions, asset classes, and operational issues to ensure the commission can evaluate market risks.

Guidance Issued on Tokenized Real-World Assets

Separate from the pilot, the CFTC also released guidance addressing tokenized versions of real-world assets such as U.S. Treasuries, money-market funds, and stablecoins. The guidance builds on recommendations made by the agency's Global Markets Advisory Committee, whose members include major banks and asset managers.

According to the commission, existing technology-neutral regulations governing liquidity, enforceability, and margin policies will continue to apply to tokenized collateral, ensuring that firms rely on established compliance and risk-management standards.