CME Group, the largest derivatives exchange in the United States, began trading XRP futures on Sunday. On the first day, the contracts generated over $19 million in notional revenue, a much larger debut figure compared to Solana, which reached $12.3 million in March.
XRP is currently the fourth cryptocurrency in CME's futures contracts after Bitcoin, Ethereum, and Solana. For traders, the futures contracts are offered in two sizes: micro (2,500 XRP per contract) and standard (50,000 XRP per contract).
CME's XRP futures contracts will be cash-settled, meaning that when traders close their positions, they will be paid in US dollars instead of XRP.
According to Giovanni Vicioso, CME's global head of cryptocurrency products, this addition "will provide investors with access to high-liquidity, capital-efficient tools they need to support their evolving cryptocurrency investment and risk hedging strategies."
Futures contracts allow investors to speculate on the future value of an asset without needing to own it.
Traders can benefit if the price of XRP rises or falls based on their position, even without owning XRP in the first place. This is different from spot trading, where investors buy or sell the actual asset at the current market price.
Futures contracts are favored by many institutional investors and traders for hedging risks, providing exposure and leverage for their bets. The strong launch of XRP futures comes just as the U.S. Securities and Exchange Commission has delayed its decision on spot applications for XRP and Solana ETF proposals.