Noticing the growing attention from venture capital funds toward stablecoins, Ripple has officially launched RLUSD and joined the race.
According to Ripple's announcement, RLUSD, the project's new stablecoin, will officially begin trading on exchanges starting December 17, 2024. Ripple has stated that each RLUSD token will be fully backed by USD deposits, U.S. government bonds, and cash-equivalent assets. Their goal is to ensure the stability and reliability of this stablecoin.
To enhance transparency, Ripple has announced that it will collaborate with an independent auditing firm. This firm will review and verify the collateral backing of RLUSD while publishing monthly audit reports. This initiative aims to build user trust in RLUSD and reaffirm the project's commitment to transparency.
Wallets Supporting RLUSD. Source: Ripple.
With the launch of RLUSD, Ripple enters the highly competitive stablecoin market, where major players like Tether, Circle, and Ethena have already established strong positions. Currently, Tether remains the largest stablecoin issuer, with a supply exceeding $140 billion.
Unlike its competitors, RLUSD is issued under the oversight of the New York State Department of Financial Services (NYDFS). Ripple has chosen to adhere to NYDFS licensing requirements, one of the world's most stringent and reputable regulatory standards.
Ripple recently received final approval from the NYDFS on December 10, officially paving the way for the launch of RLUSD.
Ripple CEO Brad Garlinghouse stated:
From the outset, Ripple has carefully chosen to issue its stablecoin under the NYDFS license, widely regarded as one of the top global regulatory standards. As the U.S. moves toward clearer regulations, we anticipate that stablecoins like RLUSD will gain broader acceptance.
-- Brad Garlinghouse stated --
Ripple revealed that in early 2025, RLUSD will be integrated into Ripple Payments to facilitate payment transactions for business customers.
Ripple Payments is a cross-border payment platform that has processed over $70 billion in transaction volume for customers worldwide. The integration of RLUSD is expected to enhance the speed and efficiency of international transactions.
Ripple USD is supported by 14 exchanges.
Additionally, RLUSD will support both XRP Ledger and Ethereum, two of the most prominent and widely used blockchains today. Ripple has also announced plans to expand RLUSD to other blockchains and DeFi (decentralized finance) protocols in the future, enabling its integration into decentralized applications (dApps) and the broader DeFi ecosystem.
Initially, RLUSD will be listed on exchanges such as Uphold, MoonPay, Archax Coin, and MENA. Furthermore, Ripple is planning to list RLUSD on other major exchanges, including Bitso, Bullish, Bitstamp, Mercado Bitcoin, Independent Reserve, and Zero Hash.
The presence of RLUSD on numerous major exchanges will increase the stablecoin's liquidity, allowing users to buy, sell, trade, and utilize RLUSD across various financial applications easily.
Simon McLoughlin, CEO of Uphold, has also expressed support for RLUSD. According to him, RLUSD will play a crucial role in shaping the future of digital payments and corporate finance.
With the launch of RLUSD, Ripple is solidifying its position in the stablecoin market. The approval from NYDFS adds credibility to RLUSD, while support from major exchanges like Uphold, MoonPay, Archax, and CoinMENA will further accelerate its global adoption.
Ripple's price has seen a slight increase over the past 24 hours. Source: CoinMarketCap.
Ripple is also expanding the reach of RLUSD to multiple blockchains and DeFi protocols, which could enable it to quickly become one of the most popular stablecoins in the digital finance ecosystem.
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