Bitnomial Launches XRP Futures Contract, Drops SEC Lawsuit

Crypto Options and Futures Exchange Bitnomial has announced the launch of the XRP futures contract, a product it has placed on its radar since at least October 2024. The exchange noted that the push for this product comes amid the improving regulatory clarity with the US Securities and Exchange Commission (SEC).

The Bitnomial XRP Futures Contract

As the Options exchange noted on X, this XRP Futures contract will be the first-ever CFTC-regulated offering in the United States. Bitnomial said its clients will have access to the XRP Futures product from March 20, 2025. 

As it revealed, prospective clients can onboard with one of its three FCM Partners. These include R.J. O’Brien and Associates, Marex Capital Markets, Inc., and Bitnomial Clearing LLC. Bitnomial made this move shortly after the US SEC ended its Ripple lawsuit appeal.

Notably, the Commodity Futures Trading Commission (CFTC) ‘s approval of XRP futures further strengthens its position that certain digital assets fall under its jurisdiction as commodities. 

 Again this significant event happened months after the SEC had moved to counter the Bitnomial’s filing. The regulator claimed that XRP futures were security offerings and required additional regulatory oversight that falls within their purview.

However, with the Security Commission dropping its appeals against Ripple Labs Inc., the regulatory climate surrounding XRP has become more defined.

The End to the SEC Lawsuit

Bitnomial’s legal dispute with the security agency started under former SEC Chairman Gary Gensler in October 2024. The exchange sued the regulator over its claim of jurisdiction to regulate its products. 

For context, the agency had posited in a court filing that Bitnomial’s XRP futures contract should be classified as a security. This will also require mandatory compliance with additional regulatory measures, including registration as a national securities exchange.

However, following the regulatory oversight decision to drop its appeal in the Ripple case, Bitnomial has chosen to voluntarily dismiss its lawsuit. 

In addition, the exchange’s decision informs the changing regulatory environment and the CFTC’s growing influence in the regulation of crypto derivatives.

Implication for Crypto Regulation

Bitnomial’s move to launch its XRP futures contract aligns with a growing trend. Earlier, CME launched Solana futures for US customers as altcoins gained more momentum. 

With the CFTC overseeing the futures market for Bitcoin and Ethereum, the approval of XRP futures adds another major digital asset under its jurisdiction. More importantly, with this latest development, the crypto industry is watching how the SEC and CFTC will work together to define their roles.

In addition, many experts believe that Bitnomial’s successful launch of XRP futures could set a precedent for future crypto derivative products in the U.S.

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Godfrey Benjamin

Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture.

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Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.