Bitnomial is set to introduce its CFTC-approved XRP futures contracts on March 20 and has decided to withdraw its lawsuit against the US Securities and Exchange Commission.
The company stated that its choice to drop the lawsuit was influenced by the regulator’s decision to cease legal proceedings against Ripple.
In a statement made on March 19, the announcement revealed that the contracts will be settled in cash, offering a new regulated trading option for both institutional and retail investors interested in XRP.
Regulatory Progress
Clients of Bitnomial will have immediate access to the XRP futures upon launch. Meanwhile, new clients can onboard through Futures Commission Merchant (FCM) partners, including R.J. O’Brien and Associates, Marex Capital Markets, and Bitnomial Clearing.
The introduction of these futures aligns with the growing trend of improved regulatory clarity within the cryptocurrency sector, particularly as legal outcomes continue to reshape the environment for digital assets.
A noteworthy event in this context was Ripple’s major victory in its ongoing legal struggles with the SEC. The regulator officially withdrew its appeal in the lengthy dispute regarding XRP’s classification. Ripple’s CEO, Brad Garlinghouse, confirmed this resolution on March 19, describing it as a pivotal achievement for the industry.
The case, initiated in December 2020, accused Ripple of carrying out unregistered securities sales totaling $1.3 billion. A key ruling in August 2024 established that XRP is not considered a security when traded on public exchanges, although penalties for institutional sales were upheld.
As part of this ruling, Ripple was ordered to pay $125 million in fines, a significant reduction from the SEC’s initial claim of nearly $2 billion.
Both the regulator and Ripple appealed the judgment, but the SEC ultimately chose to abandon its appeal. However, Ripple’s pursuit of an appeal to overturn the sanctions and clarify XRP’s status regarding institutional sales remains active.
Bitnomial Withdraws Lawsuit Against SEC
Alongside the unveiling of its XRP futures, Bitnomial indicated that it has voluntarily chosen to withdraw its lawsuit against the SEC.
The company had filed this suit in October 2024 over disputes regarding jurisdiction related to futures contracts based on XRP’s value.
Bitnomial originally submitted its application for the XRP futures product in August 2024 following the federal ruling that determined XRP is not a security, contesting the SEC’s authority over XRP derivatives.
The firm’s resolution to dismiss its lawsuit reflects the evolving regulatory landscape and the enhanced clarity surrounding the classification of digital assets.