The U.S. Commodity Futures Trading Commission welcomes a new leader, and cryptocurrency markets, especially XRP investors, are anticipating a shift in regulatory paradigms.
1. A New Era of Regulation
On October 25, U.S. President Trump officially nominated Mike Selig as the 16th Chairman of the U.S. Commodity Futures Trading Commission (CFTC), a move that was immediately met with enthusiasm from both the financial and cryptocurrency sectors.
Selig is a lawyer well-versed in digital asset regulation, having previously worked at the CFTC and served as the chief legal advisor for the U.S. Securities and Exchange Commission's (SEC) crypto task force. This unique background makes him an ideal bridge between traditional finance and the blockchain world.
In a statement posted on X, Selig expressed that he is "honored to be nominated by President Trump to serve as the 16th Chairman of the CFTC," and he pledged to "promote competition, innovation, and what he calls the golden age of American financial markets."
David Sachs, the White House's head of artificial intelligence and crypto affairs, praised Selig as an "excellent choice," noting that he is "keen to modernize regulatory approaches to maintain America's competitiveness in the digital asset era."
2. A Familiar Voice
For XRP supporters, Selig is not a stranger. He has long provided in-depth analysis of the SEC's lawsuit against Ripple and is one of the few legal experts who have thoroughly explored the long-term implications of this litigation on cryptocurrency law.
In July 2023, after Judge Analisa Torres ruled on the SEC vs. Ripple case, Selig clearly stated that it was "a tremendous victory for the Ripple team." He explained that the ruling made an important distinction: investment contracts can be securities, but the crypto asset itself is not.
Selig specifically clarified, "Judge Torres believes that XRP itself is not a security, but it can be sold as part of a security. XRP itself is just computer code. XRP is a fungible commodity, just like gold or whiskey."
His viewpoint aligns closely with that of the XRP community, which sees the decision as a step toward clearer and fairer classification of digital assets.
3. Market Impact
Selig's appointment coincides with a series of positive developments in the XRP market.
● Recently, the REX-Osprey XRP ETF's assets under management surpassed $100 million, achieving this milestone in just one month. The significance of this achievement lies in its provision of a compliant solution for institutions to invest without directly holding XRP. AiCoin data shows that nearly 40% of XRPR ETF holdings come from major institutional investors like hedge funds.
● The derivatives market also shows strong institutional demand. The Chicago Mercantile Exchange (CME) reported that over 567,000 XRP futures contracts have been traded since May 2025, with a notional trading volume exceeding $26.9 billion. CME also launched XRP options in October 2025, further enriching its product line. The market reacted positively, with XRP prices rising over 5.4%, reaching $2.57.
● Following Trump's nomination announcement, XRP even briefly surpassed $2.68, breaking through the key resistance level of $2.63, with trading volume surging by 147%.
In addition to ETFs and derivatives, XRP has also seen another breakthrough in institutional applications.
● Evernorth announced a $1 billion XRP fund management plan at the end of 2025 and acquired 261 million XRP tokens. It is reported that Evernorth plans to list its XRP assets on Nasdaq under the ticker symbol “XRPN” through a merger with a special purpose acquisition company. This initiative is a first in the crypto space, providing investors with an equity investment tool that does not require direct holding of XRP. The market reacted positively to Evernorth's actions, with XRP prices fluctuating between $2.36 and $2.54 during its accumulation phase.
While this volatility poses challenges for retail investors, institutional investors can utilize existing derivatives and ETF tools to deploy risk management strategies.
4. Regulatory Coordination
Selig's nomination is not an isolated event; it reflects a broader shift in the U.S. cryptocurrency regulatory landscape.
● The SEC and CFTC recently issued a joint statement indicating that the two agencies have reached a consensus on cooperation, confirming that current laws do not prohibit spot cryptocurrency trading on exchanges registered with the SEC or CFTC.
This statement marks a significant shift in regulatory attitude. SEC Chairman Paul Atkins stated, "Market participants should have the freedom to choose where to trade spot cryptocurrency assets."
● CFTC Acting Chair Caroline Pham pointed out more directly, "Under the previous administration, our agency sent mixed signals regarding the regulation and compliance of the digital asset market, but the message is clear: innovation is welcome. That era is over."
The two regulatory agencies are pushing to complete cryptocurrency regulatory milestones by the end of the year.
● The CFTC plans to implement management of "spot crypto trading and tokenized collateral" by year-end; the SEC is advancing "Project Crypto," aiming to introduce an innovative regulatory exemption system.
Development Areas
Progress Overview
Market Impact
Regulatory Environment
Trump appoints Selig as CFTC Chair
Potentially paving the way for more crypto-friendly regulatory policies
ETF Development
REX-Osprey XRP ETF AUM surpasses $100 million
Provides a compliant channel for institutional investment
Derivatives Market
CME XRP futures notional trading volume reaches $26.9 billion
Indicates strong institutional demand
Institutional Adoption
Evernorth launches $1 billion XRP fund management plan
First Nasdaq-listed XRP asset plan
Source: Compiled by AiCoin
6. Potential Risks and Market Outlook
Despite the overall positive market sentiment, investors should remain vigilant about potential risks.
● The SEC's review results for the XRP ETF application remain a source of uncertainty. While the REX-Osprey XRP ETF has achieved initial success, other applications are still awaiting the SEC's decision.
● Additionally, Ripple's escrow account unlocking plan is worth monitoring. Ripple will unlock 1 billion XRP on November 1. This increase in supply may exert short-term pressure on market prices.
● From a technical analysis perspective, XRP has formed key price levels. The $2.54-$2.58 range constitutes an important support area; if it falls below this range, it may weaken market momentum and trigger a short-term adjustment. On the other hand, if the price can stabilize above $2.70, it may open up space for an upward move toward the $2.90-$3.00 range.
As the SEC and CFTC work to implement cryptocurrency regulatory plans by year-end, the U.S. is moving toward establishing a clearer regulatory framework for digital assets. Selig's leadership at the CFTC, combined with the coordination between the two agencies, may ultimately provide the long-awaited regulatory clarity for the cryptocurrency market.
For XRP, the path from a speculative token to a regulated, liquid asset with clear utility seems to be rapidly unfolding.
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