XRP has set a new record on the CME derivatives exchange, underscoring the demand for the altcoin. This comes as the crypto futures products on the exchange hit $30 billion in open interest (OI) for the first time ever.
XRP Becomes Fastest To Hit $1 Billion In Open Interest On CME
In an X post, the CME Group revealed that its XRP futures products have crossed $1 billion in open interest, making it the fastest-ever contract to reach this milestone, having hit the mark in just over three months. The derivative exchange remarked that this is a huge sign of market maturity, with new capital entering the market.
This comes as the crypto futures on the CME exchange just surpassed $30 billion in notional open interest for the first time ever. Bitcoin and Ethereum boast open interests of over $16 billion and $10.5 billion, respectively, while XRP and SOL have crossed the $1 billion mark, indicating significant interest in these crypto assets.
Commenting on this development, Nate Geraci, President of NovaDius Wealth, stated that people might be underestimating the demand for spot XRP ETFs. He suggested that the huge interest in the XRP futures confirms that there will be massive inflows into the spot funds if they eventually get approval from the SEC.
Geraci also noted that there is already over $800 million in futures-based XRP ETFs. This has further strengthened his belief that there will be demand for the spot funds. The expert expects the SEC to approve the pending spot ETF applications, particularly now that the Ripple SEC lawsuit is over.
The Commission is set to decide on these funds by October, when it will have to approve or disapprove proposed rule changes to list them on the stock exchange. Notably, XRP ETF issuers recently amended their S-1 forms, which Geraci described as a good sign towards approval.
John Deaton Predicts Massive Demand For The XRP Funds
Following Geraci’s comments, pro-XRP lawyer John Deaton remarked that he has also predicted that the spot funds will see significant demand when they launch. He noted that he made this prediction just as he mentioned that Gemini’s XRP card would be the platform’s most popular credit card.
Deaton expects these XRP ETFs to enjoy significant demand thanks to the influence of XRP holders. He opined that these holders were the reason why the Gemini App surpassed the Coinbase app in recent downloads, possibly as they rushed to use the XRP card. John Deaton believes the influence of these XRP holders cannot be underestimated, noting that 75,000 of them from 143 countries worldwide joined as amici curiae in the Ripple case.
At the time of writing, the XRP price is trading at around $3, up over 5% in the last 24 hours according to data from CoinMarketCap.
Featured image from iStock, chart from Tradingview.com
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