According to U.Today, Chicago-based cryptocurrency derivatives exchange Bitnomial is preparing to introduce USD cash-settled futures contracts for the XRP cryptocurrency, identified by the ticker 'XUS'. The exchange has informed the Commodity Futures Trading Commission (CFTC) that trading for this new product is expected to commence after August 13. These futures contracts will be executed on Bitnomial's electronic trading platform and cleared through a CFTC-registered derivatives clearing organization.
Bitnomial has highlighted that XRP is already traded on various domestic and international markets, reducing the likelihood of market manipulation. The exchange plans to publish daily trading volumes and open interest levels for these futures contracts. In December, the CFTC approved Bitnomial's application to register as a derivatives clearing organization, enabling it to offer options and margined futures. Despite some concerns about potential conflicts of interest, which led to one commissioner voting against the application, Bitnomial was previously permitted to list futures and options in 2020, joining other notable exchanges like CME, Cboe, and Bakkt.
In May, Ripple CEO Brad Garlinghouse mentioned that the launch of an XRP-based exchange-traded product in the U.S. was 'inevitable'. Prominent ETF analyst Nate Geraci has noted that regulated futures contracts are essential for an altcoin to generate ETF interest. Therefore, Bitnomial's new product could be a significant step towards the introduction of an XRP ETF in the U.S.
