Crypto trust firms are entering the US derivatives settlement market, a sector previously reserved for traditional banks. This shift follows a November 5 decision by the Commodity Futures Trading Commission (CFTC), which now allows derivatives clearinghouses to utilize trust companies for daily settlements.
The CFTC issued no-action relief after a request from Nodal Clear on October 29. This move addresses a regulatory gap where federal commodities law permitted holding funds at trust companies, while CFTC Regulation 39.14 restricted settlement services to banks. Clearinghouses must now ensure trust companies meet the same monitoring standards as traditional banks.
The scale of this market is significant. CME Group reported transferring an average of $8,7 billion per business day during the first half of 2026, compared to $6,7 billion in 2025. Several firms, including Coinbase, BitGo, Circle, Ripple, Crypto.com, and Bridge, have recently expanded their institutional services or secured national trust bank charters.
Traditional banking groups, such as the Independent Community Bankers of America, have challenged these developments, filing a lawsuit in October against the Office of the Comptroller of the Currency. They argue that trust charters allow crypto firms to perform bank-like activities without meeting conventional regulatory requirements.
The long-term stability of this regulatory opening remains uncertain. Because the CFTC issued a no-action letter rather than a formal rule amendment, the relief can be revoked by future agency leadership. Furthermore, the political landscape is shifting following the November 3 midterm elections, which granted Democrats control of both chambers of Congress.
