- Bitnomial to launch first-ever CFTC-regulated XRP futures in the U.S. on March 20.
- The physically settled XRP futures aim to bring real market impact and liquidity.
- Bitnomial dropped its SEC lawsuit, aligning with the agency’s retreat from its Ripple case.
Bitnomial, a Chicago-based crypto derivatives exchange, is set to launch the first-ever CFTC-regulated XRP futures in the United States. The new futures product will be available to users starting March 20, just a day after the company announced that it has dropped its lawsuit against the Securities and Exchange Commission (SEC)
“Bitnomial is launching the first-ever CFTC-regulated XRP futures in the US — physically settled for real market impact,” the exchange said in a statement. The decision to voluntarily dismiss its legal battle with the SEC follows the regulatory agency’s decision to back away from its long-standing case against Ripple.
XRP futures will be physically settled, meaning contracts will be delivered in XRP tokens upon expiration rather than being cash-settled. This ensures direct interaction with the asset, setting these contracts apart from other crypto futures offerings.
XRP Futures Enter a Growing Market
The launch of XRP futures marks another step in Bitnomial’s expanding product line. Just last week, the exchange introduced futures contracts for Ethereum, Litecoin, Solana, Avalanche, Bitcoin Cash, and Chainlink. XRP futures will also be available on Botanical, Bitnomial’s newly unveiled US-based perpetual trading platform.
Bitnomial’s legal battle with the SEC began on October 10, 2024, when it sued the regulatory body for allegedly overstepping its authority. The lawsuit was filed after the SEC blocked Bitnomial’s attempt to list XRP futures, demanding that the exchange first register as a securities exchange. However, the landscape has since shifted, with the SEC gradually walking back several of its aggressive crypto-related enforcement actions.
Ripple CEO Brad Garlinghouse confirmed on March 19 that the SEC had decided not to pursue an appeal challenging a prior court ruling, which stated that XRP does not qualify as a security when sold to retail investors. The SEC lawsuit against Ripple, filed in December 2020, accused the company of selling XRP as an unregistered security.
SEC Softens Crypto Stance Under New Leadership
Under the leadership of Acting SEC Chair Mark Uyeda, who took over following Gary Gensler’s resignation on January 20, the agency has been re-evaluating its stance on digital assets.
On March 17, Uyeda announced plans to scrap a proposed rule that would have imposed stricter custody regulations on crypto investment advisors. He also signaled on March 10 that the SEC was reconsidering a proposal to extend its regulation of alternative trading systems to include crypto firms.
Bitnomial’s launch of regulated XRP futures comes as the US derivatives market for digital assets expands. Meanwhile, asset manager Volatility Shares is preparing to roll out the first Solana futures ETFs in the country. Bloomberg reported that the Volatility Shares Solana ETF (SOLZ) will provide direct exposure to Solana futures, while the Volatility Shares 2X Solana ETF (SOLT) will offer leveraged exposure.
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