The trading of digital assets continues to evolve with the introduction of new risk management methods. This article discusses XRP futures and the stablecoin RLUSD.
Introduction to XRP Trading and RLUSD
In late 2024, Ripple launched RLUSD, which opens new trading opportunities, particularly in light of the recently launched XRP futures on the Chicago Mercantile Exchange (CME). This trend generates renewed interest in advanced trading strategies.
Hidden Road's Trading Strategy
WrathofKahneman from the XRP community highlights that Hidden Road employs a classic basis trading strategy by buying XRP spot and selling futures on CME. However, this creates operational challenges due to CME futures being only open on weekdays, leading to weekend risk.
Developing XRP's Institutional Sector
Integrating RLUSD into trading strategies marks a significant advancement for supporting XRP on an institutional level. It enables traders to manage capital and risks more effectively, ensuring robust trading conditions.
The changes in XRP trading strategies using RLUSD and CME futures significantly strengthen the institutional sector, providing more reliable tools for risk management.
