Expert Unveils Major Flaw In CME Group’s XRP Futures

Crypto Eri (@sentosumosaba), a respected figure in the cryptocurrency community, recently highlighted concerns regarding CME Group’s upcoming launch of XRP futures on May 19. She pointed out that the contracts will be “financially settled in USD,” meaning there will be no actual handling, movement, or delivery of XRP upon expiration. Instead, all settlements will occur in U.S. dollars. “Financially settled contracts in USD” means XRP is not handled, moved or delivered upon expiration. https://t.co/lvyIsTb4rL pic.twitter.com/g92rcFP1OE — Crypto Eri ~ Carpe Diem (@sentosumosaba) April 24, 2025 In response to a comment criticizing her outlook as negative, Crypto Eri explained her position, stating, “Using the asset matters.” She emphasized that real utility and direct interaction with XRP are critical for influencing its market fundamentals. The Importance Of Using XRP Another community member noted that financially settled contracts still track the price of XRP and can influence sentiment, hedging strategies, and even spot market flows. He argued that while no XRP changes hands, exposure to price movements alone can matter. Crypto Eri countered this stance, arguing that the price tracking relies on a centralized oracle service. She said the underlying asset “could be kangaroo meat,” illustrating her view that such arrangements reduce the contract’s meaningful connection to XRP itself. She maintained that to genuinely impact XRP’s market value, transactions must involve the asset. Crypto Eri further elaborated that these types of financial products resemble prediction markets. Many experts believe nothing else matches XRP’s utility . However, for the asset to experience substantial growth, there must be a direct influence on its supply and demand through purchases and settlements involving it. We are on twitter, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) July 15, 2023 Community Reception and Broader Implications Not everyone agreed with Crypto Eri’s critical view. Some commenters suggested that her posts might discourage optimism about XRP’s future. One user mentioned that such comments contribute to perceptions that she has become a “buzz kill” within the community. Crypto Eri reiterated that positive price action must be driven by genuine utility rather than speculative financial instruments. She explained that while price forecasts and speculative trading have long been features of the digital asset space, they do not create the kind of sustained demand necessary to alter the price in the long term. In her view, the real driver of value in cryptocurrencies should be tangible use cases that increase the need for the asset itself, not simply bets on future price movements. A well-known crypto CEO recently highlighted institutional adoption as a crucial factor that could aid XRP’s growth, and utility is important for institutions looking at it. While CME Group’s decision to introduce XRP futures has been welcomed by many as a sign of growing institutional interest, not using the digital asset could lower its positive impact on the asset’s price. Disclaimer : This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses. Follow us on X , Facebook , Telegram , and Google News The post Expert Unveils Major Flaw In CME Group’s XRP Futures appeared first on Times Tabloid .

Source: TimesTabloid