Bitnomial files XRP lawsuit with SEC, calling it ”an abuse of jurisdiction”

Cryptocurrency exchange Bitnomial has filed a lawsuit against the U.S. Securities and Exchange Commission (SEC).
On the 10th (local time), Bitnomial filed a lawsuit in federal court in Illinois against the SEC and five agency commissioners,
Bitnomial argued in its lawsuit that XRP is a security and that the US has overstretched its jurisdiction over digital assets.
"The SEC is asserting jurisdiction over products that are otherwise under the exclusive jurisdiction of the Commodity Futures Trading Commission (CFTC)."
"In doing so, the SEC has improperly duplicated regulation and increased the regulatory burden on Bitnomial," the suit said.
Bitnomial, which began trading cryptocurrency futures with CFTC approval in 2020, self-certified with the CFTC to list XRP futures contracts in August last year.
The exchange said, "The SEC contacted us and told us that 'XRP futures are securities and that we will need to register Bitnomial on a securities exchange before listing the product.'"
"Ripple Labs has not registered XRP as a security and therefore does not meet the legal requirements to list XRP futures," the company said.
"The SEC has effectively prevented Bitnomial from listing XRP futures," the exchange said in a statement.
Bitnomial noted that in the SEC lawsuit against Ripple Labs, the court ruled that XRP is not a security when traded on secondary markets.
The lawsuit seeks a declaratory judgment that XRP futures are not a security and an injunction preventing the SEC from asserting jurisdiction over derivatives or taking enforcement action against the company.
Meanwhile, the SEC announced on the 2nd that it would appeal to overturn the ruling that XRP futures are not securities.