- Robinhood adds micro XRP and Solana futures, expanding its crypto trading choices.
- New micro futures help cautious traders manage risk with smaller contract sizes.
- XRP demand grows as futures, ETFs attract investors to regulated crypto tools.
Robinhood has announced new micro futures contracts for XRP and Solana. The platform has also added a micro version of its existing Bitcoin Friday futures. This expansion marks another step in Robinhood’s effort to grow its crypto derivatives business. Robinhood shared this news on its official X account.
XRP and Solana Micro Futures Attract New Traders to Robinhood
Micro futures are smaller-sized contracts. They enable individuals to wager or hedge against price fluctuations. Such agreements require less upfront money compared to regular futures. They also facilitate easy management of risk by the traders.
Earlier this year, Robinhood initiated offering futures of foreign exchange, stock indices, commodities, and cryptocurrencies. Its crypto futures had Bitcoin, micro Bitcoin, Bitcoin Friday, and Ethereum as its initial cryptocurrencies. Subsequently, Robinhood embarked on adding XRP and Solana.
By introducing XRP and Solana micro futures, Robinhood is opening crypto trading to everyone. There are several individuals with the desire to have smaller contracts. They can be more comfortable with smaller risks. Such a step can appeal to both conservative investors and adventurous traders.
In May, XRP futures were created on the CME, an exchange platform in the world. The first day of trading saw the trader exchanging 1.5 million worth of XRP futures. These contracts are settled on the basis of cash. It implies that traders are not obliged to own real XRP. The only thing they bet on is its price.
Since then, XRP has garnered more attention. The coin is of interest to more companies and funds. Ripple has created XRP. A considerable number of banks and companies adopt Ripple in cross-border payments. This is what makes XRP appealing to both traders and institutions.
Robinhood Pushes Regulated Crypto Trading with Micro Contracts
Recently, Volatility Shares unveiled the initial XRP futures ETF on Nasdaq. Its ETF is XRPI. It invests in the Cayman Islands-based company in terms of XRP futures. This action provides conventional investors with an alternative to get into crypto markets.
The new offering of Robinhood is timely. The news came in recently when Robinhood Crypto chose to reinstate Solana, XRP, and Cardano in the US. This followed demands by the users to have more options. The company aims at maintaining its platform to be fresh and competitive.
By offering more crypto products, Robinhood hopes to attract new customers. Most of the new traders are not satisfied with stocks and Bitcoin. Other coins and easy-bend tools are what they desire. Micro futures are able to occupy this gap.
Other large trading platforms also have growing business in crypto. They are introducing new products in futures, ETFs as well as others. This is evidence that there are more individuals who believe that crypto will not last short-term. It further indicates that regulators monitor the market carefully.
Originally, futures trading was reserved for large investors. This is being altered by companies such as Robinhood nowadays. They are interested in making sophisticated tools available to small investors. Robinhood reduces the cost of accessibility by introducing micro contracts.
Robinhood also wishes that its actions will breed trust. Regulated means of crypto trade are desired by many traders. Micro futures may provide them a safer alternative.
Robinhood demonstrates its intentions to remain at the forefront with the new XRP and Solana micro futures. The world of cryptos is dynamic. Such minor initiatives can make Robinhood popular in an already competitive environment.
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