KEY FACTS: Coinbase Institutional has filed with the CFTC to launch XRP futures trading, set to begin on April 21, 2025. This is to expand regulated cryptocurrency derivatives in the U.S. The filing follows Bitnomial’s introduction of XRP futures in March 2025. It comes after Ripple Labs resolved its SEC lawsuit with a July 2023 ruling clarifying XRP’s non-security status for retail sales, boosting its market cap to over $148 billion and ranking it third among cryptocurrencies. Each Coinbase futures contract will represent 10,000 XRP (about $20,000 at current prices), with trading safeguards like a 10% volatility halt, aimed at institutional traders seeking exposure to XRP’s liquidity.
Source: Coinbase Institutional/ X
Coinbase Institutional Files with CFTC to Launch XRP Futures Trading
Coinbase Institutional, the arm of U.S.-based crypto giant, Coinbase, catering to institutional investors, has filed with the Commodity Futures Trading Commission (CFTC) to introduce futures contracts tied to XRP, the token closely associated with Ripple Labs. The filing, announced on Thursday, is a strategic move by Coinbase to expand its offerings in the regulated derivatives space, positioning XRP as a key asset for institutional traders seeking exposure to one of the most liquid digital currencies. If approved, the XRP futures will go live on April 21, 2025, providing a capital-efficient and regulated avenue for market participants.
The proposed XRP futures contracts will be the second CFTC-regulated offering of their kind in the United States, following the launch of similar contracts by Chicago-based Bitnomial in March 2025. Coinbase Derivatives, a subsidiary of Coinbase Institutional, submitted the self-certification filing to the CFTC, a process that allows exchanges to introduce new products without explicit prior approval, provided they comply with regulatory standards. This move underscores Coinbase’s ambition to bridge traditional finance (TradFi) and the cryptocurrency ecosystem, leveraging the growing institutional interest in XRP after years of regulatory uncertainty. Coinbase Institutional spoke in a public announcement on X.
We're excited to announce that Coinbase Derivatives has filed with the CFTC to self-certify $XRP futures - bringing a regulated, capital-efficient way to gain exposure to one of the most liquid digital assets.
We anticipate the contract going live on April 21, 2025.
Stay tuned for additional details on launch timelines and availability.
Source
The exchange anticipates that the contracts will enhance market depth and attract institutional players, offering traders the ability to speculate on or hedge against XRP’s price movements without directly holding the asset. Each futures contract will represent 10,000 XRP, equivalent to approximately $20,000 at current market prices, where XRP is trading above $2 with minimal fluctuation over the past 24 hours. The contracts will be available for the current month and the subsequent two months, with a built-in safeguard that halts trading if XRP’s spot price experiences a volatility swing exceeding 10% within an hour. This mechanism aims to ensure stability and protect traders in a market known for its rapid price shifts.
The filing comes on the heels of a resolution in Ripple Labs’ long-standing legal battle with the U.S. Securities and Exchange Commission (SEC). Initiated in December 2020, the SEC accused Ripple of conducting unregistered securities sales worth $1.3 billion through XRP. A ruling in July 2023 by Judge Analisa Torres clarified that XRP is not a security for retail sales, though institutional sales met the criteria under the Howey Test. The SEC’s subsequent decision to drop its appeal in early 2025 provided Ripple with much-needed regulatory clarity, which boosts confidence among investors and market participants.
This clarity has been a catalyst for renewed interest in XRP, with its price surging approximately 12% to $2.53 in late March following Bitnomial’s futures launch and the SEC case resolution. With a market capitalization exceeding $148 billion, XRP currently ranks as the third-largest cryptocurrency by value, trailing only Bitcoin and Ethereum. XRP is known for its utility in facilitating fast, low-cost, cross-border payments. Its growing acceptance in regulated markets signals a maturation of its role in the financial ecosystem.
Coinbase’s move adds to the trend of U.S. exchanges doubling down on crypto derivatives. The firm recently launched futures contracts for Solana (SOL) and Hedera (HBAR), and it is awaiting CFTC approval for Cardano (ADA) and Natural Gas (NGS) futures planned for later this month. In March, Coinbase also introduced 24/7 Bitcoin (BTC) and Ethereum (ETH) futures, addressing inefficiencies in the domestic derivatives market where trading hours were previously limited. The XRP futures filing builds on this momentum, reinforcing Coinbase’s strategy to offer a diverse range of regulated trading products to both institutional and retail clients.
Coinbase’s adventure into XRP futures positions it in direct competition with Bitnomial, which pioneered CFTC-regulated XRP futures in March. Bitnomial’s launch followed its regulatory skirmish with the SEC, which it resolved by dropping a lawsuit after the agency backed off its classification of XRP as a security. The Chicago-based exchange’s physically settled contracts have already gained traction, contributing to XRP’s price rally and setting the stage for Coinbase to enter the fray.
However, not all market signals are uniformly bullish. Funding rates for XRP perpetual contracts remain negative, indicating that some traders are betting against short-term price increases. Additionally, XRP’s open interest—the total number of outstanding futures contracts—dropped to a 2025 low of 1.33 billion XRP in February, reflecting a period of bearish sentiment amid broader market corrections. Despite these challenges, the combination of regulatory clarity and institutional adoption appears to be reversing this trend, with Coinbase’s filing seen as a vote of confidence in XRP’s long-term potential.
As the crypto industry navigates a shifting regulatory environment under the Trump administration, which has vowed to make the U.S. “the crypto capital of the planet”, initiatives like Coinbase’s XRP futures signal a maturing market ready to meet the needs of sophisticated investors.
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Who knew XRP would be the star of the futures show in 2025? Coinbase's move is like adding a turbocharger to the crypto engine! Exciting times ahead for institutional traders. 🚀📈 Thanks for the insightful post—always great to stay in the loop with your updates! 🙌