In a significant development for XRP, a major exchange announces plans to launch futures contracts for the cryptocurrency.
Bitnomial Exchange has officially notified the CFTC of its plans to launch XRP/USD futures contracts, with trading set to begin today. These contracts, known as XUS, will be physically settled and margin-based, reflecting the value of 100,000 units of the cryptocurrency.
The exchange noted that XRP is already traded on several domestic and foreign markets, making market manipulation unlikely.
Bitnomial offers XRP futures contracts
The exchange’s self-certification with the CFTC shows that it has independently verified and ensured compliance with all relevant regulations and standards of the new contracts. In addition, it ensures that the exchange listing is possible without prior approval from the CFTC.
This development would be a crucial step in improving the accessibility and liquidity of the native cryptocurrency Ripple in the market. By offering futures contracts, Bitnomial offers traders a new way to speculate on the cryptocurrency’s price movements, which could attract interest from institutional investors.
ETF speculation is increasing!
Furthermore, this futures listing announcement has also raised the possibility of a potential XRP ETF. Many market observers are speculating that an ETF could be on the horizon, given XRP’s legal clarity as a non-security.
A well-known ETF analyst, Nate Geraci, also stated that regulated futures contracts for certain altcoins are a must before ETF hype occurs.
XRP continues to make headlines and reaches an important milestone
XRP recently reached a major adoption milestone. According to XRPL Services, the total amount of XRP tokens held in accounts has exceeded 60 billion, which is equivalent to over $34 billion at current prices. The over 60 billion tokens held in accounts includes all coins currently stored in wallets, regardless of whether they are in circulation or not.
Will the SEC appeal?
The conclusion of the legal battle between Ripple and the US Securities and Exchange Commission (SEC) was also a pivotal moment for XRP. This ruling has boosted confidence in the potential launch of a spot ETF that could open up new investment opportunities. However, there is still uncertainty about a possible appeal to the SEC.
If an appeal is made, XRP could fall to its July 5, 2024, low of $0.3814. On the other hand, if the SEC decides not to appeal, XRP could jump to its July 13, 2023, high of $0.9327. On Tuesday, August 13, XRP gained 1.55% to close at $0.5777, following a 2.91% increase on Monday. XRP is currently trading at $0.58.
