CME Group, a prominent derivatives exchange based in Chicago, is considering the introduction of its own digital token. This move is part of a broader exploration of how tokenized assets can serve as collateral within financial markets. CEO Terry Duffy shared these insights during a recent earnings call.
Duffy revealed that CME is evaluating various forms of margin, including the concept of tokenized cash and a unique CME-issued token, which could be integrated into a decentralized network for industry use. "We are not just looking at tokenized cash," Duffy noted. "We are exploring initiatives with our own coin that could potentially be utilized by other industry participants on a decentralized platform."
He highlighted that tokens issued by a "systemically important financial institution" might provide more security to market participants compared to those issued by smaller banks. Duffy also referenced a collaboration between CME and Google, initiated in March. This partnership involves piloting blockchain-based infrastructures for wholesale payments and asset tokenization using Google's Universal Ledger. The proposed CME token, however, would be a distinct project, with specifics on its operation yet to be disclosed.
CME Group is renowned for running futures and options markets across various sectors, including rates, equities, commodities, and cryptocurrencies. In January, the exchange announced plans to broaden its regulated crypto offerings by introducing futures contracts linked to Cardano (ADA), Chainlink (LINK), and Stellar (XLM). Additionally, CME has teamed up with Nasdaq to consolidate their crypto index offerings under the Nasdaq-CME Crypto Index.
In line with its expansion plans, CME intends to launch 24/7 trading for cryptocurrency futures and options by early 2026, pending regulatory clearance.
The consideration of a proprietary token by CME aligns with a wider trend among traditional financial institutions towards blockchain-based token exploration. In July, Bank of America signaled its interest in stablecoins to enhance its payment systems, with CEO Brian Moynihan viewing them as a tool for facilitating US dollar and euro transactions globally.
JPMorgan has already launched its JPM Coin, a blockchain-based token representing US dollar deposits, available for institutional clients to facilitate on-chain transactions and settlements via Coinbase's Base blockchain. Meanwhile, Fidelity Investments is set to introduce a US dollar-backed stablecoin named the Fidelity Digital Dollar (FIDD), extending its digital asset ventures after receiving preliminary approval to operate a national trust bank.
As US banks advance their stablecoin and token projects, they face ongoing debates concerning yield-bearing stablecoins, which are a source of contention within the crypto industry under the CLARITY Act being discussed in Congress.
Following the enactment of the GENIUS Act in July 2025, the stablecoin market has seen substantial growth, with its market capitalization reaching approximately $305.8 billion, up from around $260 billion at the time of the law's passage, as per DefiLlama data.