 to allow tokenized collateral, including stablecoins, in derivatives markets. Acting Chair Carolyn Pham's announcement marks a significant step in modernizing capital markets and providing clear guidance for crypto firms, aligning with the implementation of the Genius Act, the first crypto-specific legislation passed by Congress to regulate stablecoins.){kind=link}
“Today’s generation of regulated stablecoins already bring millions of end-users, they’re open, they’re composable, they’re programmable.” – 04:21
Dante Desparte, the Chief Strategy Officer and Head of Global Policy and Operations at Circle, joins Remy Blaire at the New York Stock Exchange to discuss the recent initiative launched by the Commodity Futures Trading Commission (CFTC) to allow tokenized collateral, including stablecoins, in derivatives markets. Acting Chair Carolyn Pham’s announcement marks a significant step in modernizing capital markets and providing clear guidance for crypto firms, aligning with the implementation of the Genius Act, the first crypto-specific legislation passed by Congress to regulate stablecoins.
Remy and Dante explore the implications of the CFTC’s initiative for derivatives markets, emphasizing the transformative potential of stablecoins beyond their traditional roles in payments and banking. Dante describes this initiative as a “transatlantic echo,” highlighting the recent collaboration between the U.S. and the U.K. to modernize markets and create harmonization across the Atlantic.
As the conversation shifts to the regulatory landscape in the U.S., Dante discusses the ongoing rulemaking process following the passage of the Genius Act. He notes that the Treasury Department is actively conducting consultations on financial crime compliance and the translation of the law into regulatory frameworks. This process is crucial for ensuring that stablecoin issuers operate on a level playing field with traditional financial institutions.
Remy raises the topic of institutional interest in stablecoins and the competitive landscape for the future of payments. Dante expresses skepticism about the viability of branded stablecoins, citing regulatory challenges and the advantages of existing regulated stablecoins that already serve millions of users. He likens the infrastructure supporting stablecoins to financial services shareware, allowing broader market participation without requiring companies to become stablecoin issuers themselves.
The discussion also touches on Circle’s recent expansion and the enthusiasm for regulatory harmonization in global markets. Dante emphasizes the importance of the U.S. taking a leadership role in regulating this novel market and the potential for international collaboration, particularly with countries like South Korea.
As the segment concludes, Remy and Dante reflect on the broader economic landscape and the optimism surrounding the future. Dante shares his excitement for the upcoming year, noting a shift in tone among global leaders and the potential for peace and progress in 2026.