Catenaa, Friday, February 06, 2026-CME Group plans to roll out a tokenized cash product this year, reportedly developed in partnership with Google Cloud, to support crypto collateral in derivatives trading.
CME Chairman and CEO Terrence Duffy said the initiative could allow the firm’s token to operate on a decentralized network for other industry participants. It remains unclear whether the product will be a standalone CME-issued token or a tokenized cash solution for settlement and margin, similar to JPMorgan’s JPMD deposit token.
The move follows the Commodity Futures Trading Commission’s pilot program permitting certain cryptocurrencies, including USDC, Bitcoin, and Ether, to be used as collateral in derivatives markets. CME has gradually expanded its crypto offerings to include futures and options for Bitcoin, Ether, Solana, and XRP.
Duffy added that the tokenized cash product would involve a depository bank to facilitate transactions. CME plans to evaluate different forms of onchain collateral, such as stablecoins and tokenized money market funds, while maintaining strict risk controls over which tokens it will accept.
CME and Google Cloud previously partnered on distributed ledger solutions for tokenized assets, with a launch expected this year.
The initiative could accelerate adoption of crypto collateral in repo agreements, securities lending, and other secured lending activities.
The exchange is also moving its crypto futures and options to 24/7 trading in early 2026, responding to growing client demand for around-the-clock risk management. \
Other institutions exploring tokenized collateral include BlackRock, with its BUIDL money market fund, and JPMorgan, with its tokenized deposit product.
