XRP Classified as Commodity by CFTC, Price Drops 1.615%

XRP's latest price was $3.18, down 1.615% in the last 24 hours. The cryptocurrency has been classified as a commodity in newly listed U.S. Commodity Futures Trading Commission (CFTC) Event Contracts, marking a major regulatory development. The classification appears in an official filing under Rule 13.43 of the exchange’s rulebook, detailing the specifications for XRP cryptocurrency event contracts. The filing outlines the contract scope, identifying XRP as the underlying asset for the new class of event contracts. Additionally, the contracts reference the spot XRP bid/ask midpoint prices provided by Lukka, Inc., quoted in U.S. dollars. For intraday trading, the contracts feature two formats: 2-hour and 20-minute intervals. The first expirations occur at 1:00 a.m. ET on Saturday and 11:20 p.m. ET on Friday, respectively, with final expirations at 4:00 p.m. ET the following Friday. Strike interval widths are set at 0.01 for 2-hour contracts and 0.004 for 20-minute contracts, with nine strike levels listed for each series.

The classification of XRP as a commodity in this filing comes after years of legal uncertainty. The U.S. Securities and Exchange Commission (SEC) had previously alleged that XRP was an unregistered security in its case against Ripple Labs. However, a federal court ruled that XRP itself was not a security, a decision the SEC did not overturn despite appealing other parts of the ruling. Neither the SEC nor the CFTC has issued an official statement defining XRP’s regulatory status. The filing’s treatment of XRP as a commodity mirrors approaches seen in other financial products, such as commodity-based trusts referenced in spot ETF applications. Although this filing is restricted to the derivative products listed on the exchange, the fact that XRP is considered a commodity with the purpose of trading may impact market participation. With this type of classification, regulated derivative instruments can be created, like futures and options on XRP prices. The decision is further made with a change in regulatory attitudes. The current Head of the SEC, Paul Atkins, has already indicated that the majority of crypto assets do not qualify as securities, a differentiating viewpoint from that of Gary Gensler, who was Secretary of the SEC and only listed Bitcoin as a non-security.

XRP asserts itself in corporate treasuries after Ripple’s victory against the SEC. The integration movement of cryptos into balance sheets evolves towards a multi-asset approach. The Crypto Market Monitor report by Amina Bank, published on August 8, 2025, describes a shift towards assets combining operational utility and yield potential. XRP asserts itself today thanks to its liquidity, its integration into the Ripple payment network, and its compatibility with institutional transactions. Over one year, its price jumped 480%, prompting companies to announce more than $980 million in planned purchases. This trend marks a strategic broadening where crypto becomes an asset management tool rather than just a speculative bet. Some companies no longer hesitate to publicly display their XRP strategy. Nature’s Miracle Holdings, an American agritech player, plans to allocate up to $20 million in XRP to strengthen its reserves and develop new crypto uses within its ecosystem. On its side, Vivopower International, listed on Nasdaq, raised $121 million to build an XRP reserve, becoming the first listed company dedicated entirely to this asset. These initiatives express increased confidence in Ripple’s ability to offer fast payment flows and yield prospects adapted to institutional needs.

The dispute started in 2020 between Ripple and the SEC is officially closed, thanks to the commitment of the XRP Army. Both parties withdrew their appeals, leaving intact the decision that XRP is not considered a security when sold on crypto exchange platforms to retail investors. This regulatory clarification removes a major barrier to institutional adoption and XRP gains ground in corporate treasuries. Market players now consider financial products backed by XRP, such as ETFs, likely to amplify demand. With a clarified legal framework and growing adoption by companies, Ripple redefines crypto’s role in institutional finance. It remains to be seen if this momentum will withstand market cycles and confirm XRP as an essential asset in modern treasuries.

In the world of cross-border payments, a quiet revolution is taking place. Traditional banking systems have long struggled with inefficiencies—slow transactions, high fees, and a reliance on multiple intermediaries. XRP, the cryptocurrency built on the Ripple network, claims to offer a solution. The global payments industry is ripe for disruption. According to the World Bank, the average cost of sending a remittance stands at 6.3% of the transaction value. This is especially problematic for low-income countries, where remittance payments often account for a significant portion of household income. The process can take several days, with payments passing through multiple intermediaries. The traditional system’s inefficiencies are costing consumers billions every year. In contrast, XRP offers the potential for near-instant, low-cost payments. Ripple, the company behind XRP, markets the cryptocurrency as a bridge currency, allowing for fast, cheap transactions between different currencies. XRP is built for speed. Transactions on the XRP network typically settle in under 5 seconds, compared to several days with traditional banking systems or other cryptocurrencies. XRP’s low fees are another significant advantage, with an average transaction cost of just $0.0002. This combination of speed and cost efficiency makes XRP an attractive alternative for cross-border payments. Ripple claims that XRP can drastically reduce costs by eliminating the need for multiple intermediaries and offering direct transfers between parties.

One of XRP’s strongest selling points is its growing adoption among financial institutions. Ripple has established partnerships with over 300 financial institutions across countries, including major names like Santander, SBI Holdings, and Bank of America. These collaborations indicate that Ripple is becoming an increasingly integral part of the global financial infrastructure. Ripple’s focus on regulatory compliance also sets it apart from other cryptocurrencies. The company has been active in engaging with regulators worldwide to ensure that its technology meets global standards. Ripple’s adoption in emerging markets is particularly significant. In regions where financial inclusion remains a challenge, XRP could provide a fast and affordable solution for cross-border payments. Its low fees and quick settlement times are especially valuable for people sending money across borders, as well as businesses involved in international trade. Despite its strengths, XRP faces several challenges that could hinder its widespread adoption. The volatility of the cryptocurrency market remains a concern, as fluctuations in the price of XRP could impact the stability of transactions. Additionally, while Ripple has made significant strides in gaining regulatory approval, the legal landscape surrounding cryptocurrencies is still evolving, and new regulations could impact XRP’s ability to operate in certain jurisdictions. Moreover, the global payments ecosystem is complex, and Ripple’s success depends on overcoming interoperability challenges. While XRP is well-suited for direct transfers between parties, integrating with other blockchain platforms and traditional financial systems could present technical and logistical hurdles. XRP’s potential to transform cross-border payments is clear. With its low fees, fast transaction speeds, and growing institutional adoption, XRP offers a compelling alternative to traditional payment systems. However, challenges remain, particularly in terms of regulatory hurdles and market volatility. If Ripple can continue to navigate these obstacles, XRP could play a pivotal role in reshaping the future of global payments. XRP continues to expand its footprint in the cross-border payments space, processing billions in transactions and partnering with some of the world’s largest financial institutions. While its full potential is still unfolding, it’s evident that XRP is a force to be reckoned with in the race to overhaul cross-border payments. Whether it can fully replace traditional systems like SWIFT remains to be seen, but its trajectory suggests that it will be a key player in the future of international finance.

Recent developments surrounding XRP highlight significant corporate actions and market developments. Ripple secured a waiver from the SEC regarding certain conduct restrictions tied to the resolution of their legal dispute. This adds to the company’s legal progress following the settlement. A notable transaction involved Chris Larsen, Ripple's co-founder, moving 50 million XRP tokens on August 10. This large transfer, while confirmed on the blockchain, sparked discussion within the community regarding its potential implications, although Ripple has maintained its practice of providing transparency for significant escrow releases. Further clarifying its token management approach, Ripple CTO David Schwartz directly addressed ongoing rumors about the monthly XRP escrow releases. He confirmed the established protocol that these scheduled releases occur predictably on the first day of each month. This follows the recent unlock of XRP valued at approximately $3.28 billion from these escrow accounts, which significantly increased the available supply. In terms of institutional adoption interest, asset management giant BlackRock publicly stated on August 8 that it has no immediate plans to introduce a U.S. spot exchange-traded fund (ETF) specifically for XRP. This clarification came despite the resolution of the SEC case against Ripple, indicating that the regulatory settlement alone was insufficient to trigger such a product launch by the firm at this time. On the utility front, Siton Mining launched a new service enabling users to generate passive XRP income through cloud mining contracts directly accessible via smartphone. Announced on August 10, this initiative aims to broaden participation in XRP mining without requiring specialized hardware.