XRP Futures Make Explosive Debut on Coinbase with $100M Daily Volume

Sean Williams
Ripple (XRP)

Just days after facing a significant legal challenge in Oregon, Coinbase has launched XRP futures contracts on its U.S. Derivatives Exchange, witnessing a powerful initial reception. The newly available futures contracts for XRP have already demonstrated robust trading activity, with daily volumes exceeding a remarkable 100 million USDC. This strong performance underscores the growing appetite for XRP exposure among both retail investors and larger institutional players within the United States.

Strong Investor Demand Fuels XRP Futures Trading

Coinbase’s introduction of XRP futures includes two distinct contract types tailored to different segments of the market. Standard Contracts, each representing 10,000 XRP, are designed to cater to the needs of large institutions and active traders seeking significant exposure. Simultaneously, recognizing the burgeoning interest from retail participants, Coinbase has also launched “nano” contracts. These smaller contracts represent 500 XRP each, equating to approximately $1,000 based on XRP’s price on April 21st. This strategic offering broadens access to XRP derivatives trading for a wider range of investors. This move builds upon Coinbase’s existing portfolio of over 20 futures contracts, which already includes prominent cryptocurrencies like Bitcoin, Ether, Dogecoin, and Solana, as well as recently added Cardano and Natural Gas futures.  

Oregon Lawsuit Casts Shadow Over Coinbase Expansion

The successful launch of XRP futures comes at a complex time for Coinbase. Just prior to this expansion, the Oregon Attorney General filed a lawsuit against the exchange, alleging that 31 tokens listed on the platform, including XRP, UNI, LINK, AAVE, and MKR, are unregistered securities. This legal action introduces a significant layer of regulatory uncertainty for Coinbase and the broader cryptocurrency market.  

Also Read: Ripple Burns 12M RLUSD on XRP Ledger, Bridges Liquidity to Ethereum

Coinbase Defends Listings, Eyes Further Growth

Coinbase Chief Legal Officer Paul Grewal has vehemently refuted the claims made in the Oregon lawsuit. He criticized the Attorney General’s actions, suggesting that the lawsuit lacks merit and may be driven by ulterior political and financial motives. Grewal warned that such legal challenges could have detrimental consequences not only for Coinbase but for the entire digital asset industry. Despite this regulatory hurdle, Coinbase continues to strategically expand its derivatives offerings.

The exchange currently lists derivatives for over 92 assets globally, with approximately 24 available in the U.S. Notably, derivatives trading volume on the platform experienced an astounding surge of over 10,000% in the past year, signaling strong user engagement. Furthermore, reports indicate that Coinbase is considering acquiring Deribit, a major player in the crypto options and futures market, potentially further solidifying its position in the derivatives space.

Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.

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