CME is building its own tokenized cash product, expected to launch in 2026 with help from Google Cloud

CME is building its own coin. Not a theory. It’s happening. On an earnings call, Terry Duffy, the Chairman and CEO, confirmed that a tokenized cash product is in the works and will be released in 2026.

It’s being developed with Google Cloud, and the plan is to run it on a decentralized network that other financial firms can also use.

Terry didn’t say exactly what kind of coin this is going to be. It might be its own CME-issued token, or it could just be a tool for handling settlements and margins, kind of like JPMorgan’s JPMD deposit token.

When someone from Morgan Stanley asked about tokenized collateral, Terry called it “pretty deep” but said they’re building their own coin either way.

CME lays out the risks tied to accepting crypto assets as margin

CME is already deep in crypto. It started with bitcoin futures, then added ETH, SOL, and XRP. This new product takes things further.

Terry said the launch will use “another depository bank that will help facilitate those transactions.” So CME won’t handle all of it alone.

He also said they’re looking into other types of on-chain collateral, including stablecoins and tokenized money market funds, but there’s a line they won’t cross. “It all depends on who is issuing the token and giving it to us,” Terry said. “And it would also depend on the risks associated with that token. Would we haircut it to a point where it’s even worth being taken or not?”

Terry made it clear: CME won’t accept just any token. He said if someone brings a token from a systemically important financial institution, he might take it seriously. But a third-tier or fourth-tier bank?

“That’s probably something I would not accept,” he said. Terry also added, “We’re not going to put the enterprise at risk by taking something we can’t get our arms around.”

CME beats Wall Street with strong Q4 and full-year numbers

Let’s talk numbers. CME crushed expectations again. For the fourth quarter of 2025, it reported $1.6 billion in revenue and $1.0 billion in operating income. Net income was $1.2 billion, with $3.24 in diluted earnings per share. On an adjusted basis, net income was $1.0 billion, and EPS was $2.77.

Full-year revenue for 2025 hit $6.5 billion, with $4.2 billion in operating income. Net income landed at $4.1 billion. Adjusted EPS was $11.20. Terry said, “Last year, CME Group delivered the best year in our history and our fourth consecutive year of record revenue, adjusted operating income, adjusted net income and adjusted earnings per share.”

The platform hit an all-time high for average daily volume, hitting 28.1 million contracts in 2025. That included a 12% jump in commodities trading and a 5% rise in financials. For Q4 alone, volume hit 27.4 million contracts per day, the best fourth quarter on record.

Outside the U.S., volume reached 8.3 million contracts, up 9% from the year before. Asia was up 18%, while EMEA rose 6%.

Revenue from clearing and transaction fees hit $1.3 billion in Q4. Each contract pulled in about $0.707. Market data revenue was $208 million.

By the end of 2025, CME had $4.6 billion in cash, including $200 million placed with the Fixed Income Clearing Corporation. It also carried $3.4 billion in debt.

And it paid out $3.9 billion in dividends for the year. Since it adopted its variable dividend policy back in 2012, it’s returned nearly $30 billion to shareholders.

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