XRP News Today: XRP Futures Debut on CME with $1.5 Million in Volume

XRP futures contracts began trading on CME Group’s derivatives platform on May 19, marking a significant milestone for the major token. The first session recorded at least $1.5 million in trading volume, indicating a modest but notable debut.

According to CME data, 4 standard contracts, each representing 50,000 XRP, were traded on the first day, totaling around $480,000 in notional volume at an average price of $2.40. The majority of the activity came from 106 micro contracts, each representing 2,500 XRP, accounting for over $1 million in additional volume.

The contracts are cash-settled and benchmarked to the CME CF XRP-Dollar Reference Rate, which is published daily at 4:00 P.M. London time. CME’s dual contract structure is designed to attract both institutional players and smaller participants, offering flexibility for various hedging and trading strategies.

Ripple CEO Brad Garlinghouse highlighted the significance of this launch, stating that it marks a key institutional milestone for XRP. He also mentioned that Hidden Road executed the first block trade.

The listing of XRP futures on CME follows the CFTC’s classification of XRP as a commodity, providing a regulatory green light that cleared the path for CME to offer these products. This regulatory approval is expected to strengthen the case for a spot XRP ETF, with analysts suggesting that such a product is “only a matter of time.”

While the early trading volumes may appear modest, the inclusion of XRP on CME widens the market dynamics for the major token in terms of price discovery. This is similar to how price-action on BTC and ETH futures is impacted when the U.S. market opens, indicating a broader acceptance and integration of XRP into the mainstream financial ecosystem.