Merry Christmas and Happy Holidays to every Deadpool fan out there, because franchise star and producer Ryan Reynolds certainly has some good news for you. There has been a lot of speculation surrounding the release of a third Deadpool movie following Disney's purchase of Fox, the company responsible for the first two films. While the character is a bonafide money-maker, folks have doubted whether or not Disney would be okay with making a Marvel film that's rated R, not exactly aligning with the rest of the Marvel Cinematic Universe. However, it looks like everyone at the studio is on board, because Reynolds has now confirmed that Deadpool 3 is in the works.

On Christmas Eve, Reynolds appeared on Live With Kelly and Ryan, and he told the two hosts that the "whole team" was working on Deadpool 3. Not only that, but the film was being brought to life over at Marvel.

"Yeah we're working on it right now with the whole team," Reynolds said. "We're over at Marvel [Studios] now, which is like the big leagues all of a sudden. It's kinda crazy. So yeah, we're working on it."

It seemed like a foregone conclusion that Disney would find some way to make more Deadpool movies, regardless of how they fit or didn't fit with the MCU. Until Joker arrived this year, Deadpool and Deadpool 2 were the highest grossing R-rated movies in box office history, each making more than $780 million around the globe. There's no way Disney would ever pass up on that kind of mass appeal.

EXCLUSIVE: As Disney continues to figure out what to do with Fox properties they acquired in the merger, one of the biggest IPs, Deadpool, looks to be gaining momentum. Sources tell Deadline that Wendy Molyneux and Lizzie Molyneux-Loeglin to write Deadpool 3 with Reynolds set to reprise his role as wise-cracking superhero.

Writer meetings have been taking place over the past month with Reynolds recently meeting with a handful of writers to hear their pitch for the next installment. In the end, the studio and Reynolds saw the sisters take as the perfect fit for what they wanted. The film is still in early development but the hiring of the Molyneux sisters does mark the first major step in getting the next Deadpool film into production.

This marks the first Deadpool film where Marvel studios will work hand and hand with Reynolds and team Deadpool. Fans are sure to be excited at Marvel Studios’ President Kevin Feige’s involvement after seeing how he helped revamp the Spider-Man franchise after coming on to help in the creative effort of that franchise.

Besides Reynolds return, there is so many factors being worked but sources say the film is still expected to be rated R like the previous two installments. It is also expected to have a new director David Leitch, who helmed the second pic, has a schedule filled through 2021. Insiders the door is open for Leitch’s return as its unknown when this film will go into production but given that he wasn’t part of the writer search, seems unlikely for him to come back for part 3.

Either way, the film pushing forward will surely excite fan as many across the world and industry did wonder this film’s fate following the Fox/Disney Merger that some felt meant the possible end of the franchise.

As for the Molyneuxs, they are sisters and writing partners, who serve as the creators, showrunners, and executive producers of the new Fox series The Great North, which is set to premiere in February 2021, and has already been renewed for a second season. In addition, Lizzie and Wendy are writers and executive producers of the long-running hit series Bob’s Burgers on Fox, for which they won an Emmy Award in 2017, and have been nominated for an Emmy for eight consecutive years. They have also been nominated for three WGA Awards, and won the Annie Award in 2017 for their episode, The Hormone-iums.

On the feature side, they recently adapted the novel The People We Hate At The Wedding for FilmNation and the acclaimed videogame The Sims for Legendary. They also wrote Jump Street: Now For Her Pleasure for Sony Pictures.

Lizzie attended UC Berkeley and Wendy attended Pomona College. They both reside in the Los Angeles area with their spouses and many, many children and pets.

They are represented by Kaplan/Perrone Entertainment and attorney Gregg Gellman.

“It will be rated R and we are working on a script right now, and Ryan’s overseeing a script right now… It will not be [filming] this year. Ryan is a very busy, very successful actor. We’ve got a number of things we’ve already announced that we now have to make, but it’s exciting for it to have begun. Again, a very different type of character in the MCU, and Ryan is a force of nature, which is just awesome to see him bring that character to life.”