This will let institutions use cryptocurrencies and tokenized money market funds (MMFs) as collateral.
Announced on April 10, the crypto collateral pilot program is a major step toward. It will bring traditional finance and digital assets under the same roof.
Crypto Collateral Pilot Boosts Institutional Confidence
The goal? The goal is to give institutions a secure and efficient way to use off-exchange collateral. Standard Chartered will act as the regulated custodian within the Dubai International Financial Centre (DIFC). In other words, this isn’t just a shot in the dark—it’s a calculated move under tight regulatory oversight.
The pilot also includes major partners like Franklin Templeton and Brevan Howard. Franklin Templeton will allow OKX clients to access its on-chain money market fund products. According to Roger Bayston, Head of Digital Assets at Franklin Templeton, “onchain minting” ensures assets can move and settle at blockchain speed. They will cut out the middlemen and speed up transactions.
We’ve teamed up with @StanChart to pilot a world-leading collateral mirroring program that’s supported by @FTI_Global and @BHDigitalAssets.
This landmark initiative allows institutions to use cryptocurrencies and tokenized assets as… pic.twitter.com/UhlpAKT27k
— OKX (@okx) April 10, 2025
For the digital lending world, this is big news. Collateral is the backbone of lending, and expanding the types of acceptable collateral to include tokenized MMFs could open new doors for borrowers and institutions alike. This pilot may be just the beginning of a much larger shift in how crypto assets are used in finance.
Margaret Harwood-Jones, Global Head of Financing and Securities Services at Standard Chartered, said the initiative helps build confidence among institutional investors. “Our collaboration with OKX… represents a significant step forward in providing institutional clients with the confidence and efficiency they need,” she explained. She also stressed the importance of doing things by the book when it comes to regulation and security.
More About OKX
Asymmetry is shaking things up by introducing cbBTC as collateral for its lending platform, USA. For the first time, users can borrow against their cbBTC and even set their own fixed interest rates—putting the power back in their hands.
Introducing @Coinbase cbBTC as collateral for USA.d
For the first time ever, borrow against your cbBTC and set your own fixed interest rates.
Coming very soon. pic.twitter.com/y9xQx3xNqU
— Asymmetry (@asymmetryfin) April 9, 2025
This move opens new doors for Bitcoin holders, giving them more flexibility and control without the need to sell their assets.
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