Bitnomial
| Bitnomial | |
| |
| Founded | 2014 |
|---|---|
| Headquarters | 318 W Adams Chicago, IL 60606 |
| Key People | Luke Hoersten, Founder and CEO; Matthew Wraith, Director of Information Technology; Michael Dunn, Director of Market Operations & Surveillance |
| Products | Digital asset derivatives exchange |
| @Bitnomial | |
| Website | Bitnomial Homepage |
| Blog | Bitnomial Blog |
Bitnomial is a financial services company specializing in digital asset futures and options trading. Founded in 2014, the company offers a CFTC registered futures exchange, futures commission merchant and clearing house. Bitnomial was approved by the U.S. Commodity Futures Trading Commission (CFTC) as a futures exchange, or designated contract market, on April 17, 2020.[1]
Bitnomial Exchange self-certified XRP Futures with the CFTC on August 9, 2024. The SEC subsequently contacted Bitnomial Exchange about the contract, contending that the derivative is a security future, and that the SEC has joint jurisdiction over it. Bitnomial filed suit against the SEC on October 10, 2024, calling the SEC's assertion of jurisdiction of the product "overreach." [2]
Bitnomial announced on October 15, 2024 that it would launch a new US perpetual futures trading platform called Botanical. The launch announcement followed Bitnomial's successful $25 million funding round, led by Ripple, with whom Bitnomial is entering into a strategic partnership; also, Ripple CEO Brad Garlinghouse will join Bitnomial's board. Bitnomial said Botanical would provide an alternative to DEXes and VPN-based workarounds common in perpetual trading.[3]
History[edit]
Bitnomial was founded in 2014 by Luke Hoersten, who drew inspiration from his experience on the FX desk of Allston Trading. Witnessing the market seeking safe havens amid economic turbulence, Hoersten recognized the need for a platform to navigate market dynamics and access problems.
In 2020, Bitnomial Exchange, LLC received designation as a contract market (DCM) from the US Commodity Futures Trading Commission (CFTC). This approval allowed Bitnomial to operate an exchange for margined and deliverable digital asset futures and options, marking a significant milestone as one of the first new exchanges to receive such approval.
Bitnomial Exchange, LLC launched its margined, physically settled bitcoin futures market in 2021, expanding its offerings in the digital asset trading space.
In 2022, Bitnomial Clearing, LLC obtained approval as a futures commission merchant (FCM) from the National Futures Association (NFA). This approval enabled Bitnomial Clearing to operate as a clearing firm for margined and deliverable digital asset futures and options, enhancing its capabilities in the derivatives market.
Bitnomial Clearinghouse, LLC achieved registration as a derivatives clearing organization (DCO) from the US Commodity Futures Trading Commission (CFTC) in 2023. This milestone made Bitnomial the first crypto-native exchange to be granted the full set of CFTC derivatives licenses.[4] Initially, Bitnomial was clearing through MGEX.[5]
Funding[edit]
In 2018, the firm raised $7.5 million in equity funding amid plans to be come a futures exchange and when it first applied to the CFTC.[6] Investors included Jump Capital, Coinbase Ventures, Digital Currency Group, RRE Ventures, ValueStream Ventures, DV Chain, Consolidated Trading, Electric Capital, and Bittrex Global.[7] They were later joined by Franklin Templeton, the O'Brien Family Office, and Belvedere Strategic Capital. Bitnomial has partnered with the brokerage firms ED&F Man Capital Markets, Marex, RJ O'Brien & Associates, and StoneX Financial to support global trading for customers.[8]
Products[edit]
- Bitcoin US Dollar Futures[9]
- Deci Bitcoin US Dollar Futures
People[edit]
- Luke Hoersten, Founder & Chief Executive Officer, Bitnomial, Inc.
- Michael Dunn, President, Bitnomial Exchange, LLC
- Joseph Pensinger, Chief Compliance Officer, Bitnomial Clearing, LLC
- James Walsh Chief Regulatory Officer, Bitnomial Exchange, LLC
- Matthew Wraith, Director of Information Technology, Bitnomial, Inc.
References[edit]
- ↑ Trading Organization Associated Documents. Commodity Futures Trading Commission.
- ↑ Bitnomial Exchange Files Suit to Protect Futures Markets from SEC Overreach. Bitnomial Exchange.
- ↑ Bitnomial Announces US Perpetual Futures Trading Platform, Botanical, Backed by $25 Million Funding Round Led by Ripple. Bitnomial, Inc..
- ↑ About. Bitnomial.
- ↑ MGEX Extends Congratulations To Bitnomial. Mondo Visione.
- ↑ UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM D Notice of Exempt Offering of Securities. SEC.
- ↑ About. Bitnomial.
- ↑ Bitnomial Launches Margined, Physically Settled Bitcoin Futures in the US. Bitnomial.
- ↑ products. Bitnomial.