XRP Futures Go Live on CME As ETF Approval Odds Remain Optimistic

XRP Futures are now live on the CME, marking a new era for the asset’s liquidity. This significant stamp of approval from TradFi may boost the XRP ETF’s chances of getting a green light.

ETF analysts generally believe that an XRP ETF is guaranteed now that this trading has gone live. XRP’s own price hasn’t reacted much to this development, but the news was well telegraphed and may have been priced in.

Much Needed Institutional Exposure for XRP?

After several months of anticipation, the CME Group is finally offering XRP and Micro XRP Futures contracts. The CME first announced that it would list these offerings in late April, and they’ve gone live right on schedule.

According to Ripple CEO Brad Garlinghouse, the first trades took place on Hidden Road, a brokerage platform that Ripple bought recently:

“The launch of regulated XRP Futures on the CME marks a key institutional milestone for XRP…and very excited to report that Hidden Road cleared the first block trade on the CME at the opening!” Garlinghouse claimed via social media.

Since these markets just opened, no trading data on the XRP Futures is publicly available yet. Even so, the opening came with a lot of fanfare, and XRP enthusiasts have several things to look forward to.

The advent of CME futures trading brings a few key advantages to XRP. For one, it has long been assumed that it massively boosts the XRP ETF’s chances of success.

According to Nate Geraci, a popular ETF analyst, SEC approval is now “only a matter of time.” Odds of success remain over 80% on Polymarket, but today’s developments haven’t boosted them.

XRP ETF Approval Odds. Source: Polymarket

Despite this, a lot of things are still uncertain about XRP’s future. Since a judge denied a settlement in the SEC v Ripple lawsuit last week, there is a growing debate within the community.

Is XRP a security or a commodity? Although it’s generally treated like a commodity, one reclassification could seriously gunk up the ETF proceedings.

For now, XRP Futures are live on the CME, and this is a significant milestone. To be fair, the price of XRP hasn’t increased much yet, but this date was announced well in advance.

In any event, this development is focused on long-term growth, introducing new liquidity and institutional exposure, and laying more foundations for eventual ETF recognition.