World Crypto Global
- Written by: Jared Kirui
- Tue, 20 May 2025
- Israel
After years of speculation, XRP has officially enteredthe regulated derivatives market in the U.S. with the launch of futurescontracts on CME Groups platform. According to the company, the move reflects growinginstitutional appetite for XRP but also revives discussion around the approvalof a long-awaited spot XRP exchange-traded fund (ETF).Institutional Activity Begins with a $19 Million StartCME Group confirmed that its new XRP futures begantrading on Sunday, May 18, with the first trade executed as a block cleared byHidden Road. Day-one trading volume reportedly exceeded $19 million in notionalvalue.The launch of regulated XRP Futures on @CMEGroup marks a key institutional milestone for XRPand very excited to report that Hidden Road cleared the first block trade on CME at the opening! https://t.co/Njj8AUSY5K Brad Garlinghouse (@bgarlinghouse) May 19, 2025Hidden Road, which cleared the first transaction, seesthe launch as part of a broader shift in digital asset infrastructure. The CMEXRP futures are cash-settled, based on the CME CF XRP-Dollar Reference Rate,and available in two sizes: 2,500 XRP and 50,000 XRP. The reference rate tracksXRPs dollar value daily at 4:00 p.m. London time.CME now offers futures on several major cryptocurrencies, including Bitcoin, Ethereum, and Solana. Notably, XRPs debutvolume surpassed that of CMEs Solana contracts, which launched in March andsaw $12.3 million in notional volume on their first day. The company announced its debut in April.Read more: XRP News: Ripple Secures First UAE Clients After DFSA License, But XRP Price DeclinesAs innovation in the digital asset landscape continues to evolve, market participants continue to look to regulated derivatives products to manage risks across a wider range of tokens, said Giovanni Vicioso, Global Head of Cryptocurrency Products at CME Group.Starting May 19, trade regulated, capital-efficient futures on XRP, available in larger- and micro-sized contracts, so you can scale your exposure with greater precision and flexibility. More on XRP futures https://t.co/SzDtBmkG7r pic.twitter.com/BDJRzYSvTd CME Group (@CMEGroup) April 24, 2025However, XRPs spot market price dropped by 3.45% overthe past 24 hours, reflecting broader market volatility rather than sentimenttied specifically to the futures launch.ETF Speculation Gains TractionThe existence of a regulated futures market for XRPcould play a key role in the approval process for a spot ETF, a goal severalU.S. issuers continue to pursue. The U.S. Securities and Exchange Commission(SEC) has not yet ruled on those applications.Previously, the SEC had cited the existence ofregulated futures as a rationale for approving spot Bitcoin and Ethereum ETFs,suggesting that XRP may now meet similar criteria.As CME strengthens its position in crypto derivatives,XRPs entrance into the regulated U.S. futures space could mark a pivotal stepin bridging the gap between digital assets and traditional finance.This article was written by Jared Kirui at www.financemagnates.com.
