Bitnomial has filed a lawsuit against the SEC, disputing its classification of XRP as a security.

Case Details

The Chicago-based exchange Bitnomial, regulated by the Commodity Futures Trading Commission (CFTC), sought approval to offer XRP US Dollar Futures in August. However, the SEC warned of potential violations unless further requirements were met, including national securities exchange registration. In court documents, Bitnomial challenges the SEC's interpretation, arguing that XRP is not an investment contract.

Potential Implications

Bitnomial CEO Luke Hoersten believes establishing this precedent is crucial for all digital assets, not just XRP. The company claims a unique position to seek a court ruling on the status of XRP futures.

Other Legal Disputes in the Industry

While Bitnomial has opened a new front against the SEC, it is not the only firm doing so. Crypto.com recently sued the agency after receiving a Wells notice indicating possible enforcement. The SEC also filed an appeal notice in the Ripple lawsuit, and Canary Capital proposed launching an XRP futures-trading fund.

The current case with Bitnomial may set a crucial precedent in defining the status of various digital assets, influencing the future regulatory landscape in the US.