The cryptocurrency derivatives trading platform Bitnomial has filed a lawsuit against the U.S. Securities and Exchange Commission (SEC), questioning its regulatory authority over XRP futures contracts. The SEC claims that XRP futures fall under "security futures" and requires Bitnomial to meet additional requirements for listing. Bitnomial disagrees, asserting that XRP futures should not be considered security futures.

MAG7.SSI

According to Deep Tide TechFlow, on October 11, the cryptocurrency derivatives trading platform Bitnomial filed a lawsuit against the U.S. Securities and Exchange Commission (SEC), questioning its regulatory authority over XRP futures contracts. According to the lawsuit documents, shortly after the filing, the SEC contacted Bitnomial, claiming that XRP futures fall under the category of "security futures" and are therefore jointly regulated by the SEC and the Commodity Futures Trading Commission (CFTC). The SEC stated that if Bitnomial continued to list XRP futures, it would be in violation of federal securities laws. Additionally, the SEC demanded that Bitnomial meet extra requirements before listing, including registering as a national securities exchange. The lawsuit mentions that the SEC believes the underlying asset of XRP is an investment contract, and thus the trading of XRP is considered a security under the Securities Exchange Act. Bitnomial disagrees with this, opposing the SEC's classification of XRP as an investment contract and security, and asserts that XRP futures should not be regarded as security futures.

Cryptocurrency derivatives exchange Bitnomial has sued the U.S. SEC, questioning its regulatory authority over XRP futures contracts.