"Bitnomial Exchange has become the first exchange regulated by the U.S. Commodity Futures Trading Commission to be allowed to accept digital assets as margin collateral, starting with bitcoin and ether. The exchange can accept digital asset margin collateral from institutional clients for leveraged perpetuals, futures and options trading. Retail traders will be able to use the service in late September 2025 through Botanical, Bitnomial’s new retail trading platform. By reducing the need for US dollar reserves, traders can deploy their digital asset holdings more efficiently, maintaining exposure while accessing leverage and hedging opportunities. Michael Dunn, president of Bitnomial Exchange, told Markets Media that the firm is actively working on expanding margin collateral and trading support for additional crypto assets, which could include stablecoins.
Luke Hoersten, chief executive of Bitnomial, said in a statement: “Along with our digital asset settlements, this is a game-changer for traders who have been waiting for a compliant, efficient way to leverage their digital assets.” Dunn continued that Bitnomial’s internal models show that not being to pay margin in crypto, and having to finance trades in US dollars, is “insanely expensive.” If traders use offshore venues, they have no recourse in the event of defaults and also have to post extra collateral to make sure they are not auto-liquidated, where the exchange automatically closes a position that does not meet its margin requirements." [...]