About Bitnomial
Bitnomial, a CFTC-regulated crypto derivatives exchange, has marked several milestones. In 2023, it launched the first CFTC-regulated XRP futures, followed by a stablecoin clearinghouse. It sued the SEC over XRP futures jurisdiction, clarifying regulatory boundaries. It raised $25M led by Ripple Labs. In 2024, it introduced Bitcoin mining derivatives with Luxor. In 2025, it received CFTC approval for prediction markets, launched the first regulated spot crypto platform, and debuted regulated APT futures. In 2026, Payward (Kraken's parent) completed its $550M acquisition, integrating Bitnomial's licenses (DCM, DCO, FCM) to offer US-regulated derivatives across Kraken and NinjaTrader, marking a major consolidation in compliant crypto derivatives.
Major progress (Mar 13 – Sep 13, 2026):
On April 17, 2026, Payward (Kraken's parent) announced the acquisition of Bitnomial, completing it on May 1. Bitnomial became the first fully CFTC-licensed crypto-native derivatives stack in the US, owning an FCM, DCM, and DCO. The deal values Bitnomial at up to $550 million and Payward at $20 billion. In December 2025, Bitnomial had already launched the first CFTC-regulated leveraged retail spot crypto market. On May 29, 2026, Bitnomial self-certified rule changes to eliminate expiration on perpetual futures, effective June 12, covering multiple perpetual products.
Future focus:
Payward will roll out CFTC-regulated spot margin on Kraken and NinjaTrader, followed by perpetuals and options. Through Payward Services, banks, brokerages, and fintechs can offer regulated US derivatives via one integration. Bitnomial will keep operating under existing licenses, with plans to scale its team and operations.
Bitnomial's core leadership includes:
- Luke Hoersten: Founder & CEO. Previously at Allston Trading, where he served as Partner, Head of Core Technology, and Head of Infrastructure.
- Joseph Pensinger: Chief Operating Officer. Formerly a Managing Partner at Allston Trading, leading trading operations and serving on the Operating Committee.
- Michael Dunn: President & Chief Commercial Officer. Previously Head of the Global Market Making Group at Allston Trading.
- James Walsh: Chief Compliance Officer. Formerly a Regulatory Investigator and Compliance Specialist at Cboe Global Markets and CBOE Futures Exchange.