Coinspeaker Ripple Leverages Chainlink Standard to Enhance Seamless Adoption of RLUSD by DeFi Apps
Ripple Labs, a top-tier blockchain payment company focused on reducing friction in cross-border transactions, has announced a strategic partnership with the Chainlink (LINK) network to adopt the Chainlink Standard. Ripple Labs intends to leverage the Chainlink Standard to enhance the mainstream adoption of its recently launched fiat-backed stablecoin dubbed Ripple USD (RLUSD).
Furthermore, the Chainlink Standard will enable the RLUSD stablecoin to obtain reliability across the on-chain sector, especially in the Ethereum (ETH) ecosystem. The high-quality Chainlink price feeds will enable RLUSD pricing on the Ethereum mainnet, thus ensuring DeFi protocols offer battle-tested solutions.
“As RLUSD scales across DeFi ecosystems, reliable and transparent pricing is essential to maintaining stability and building trust in its utility within decentralized markets. By leveraging the Chainlink standard, we bring trusted data on-chain, further strengthening RLUSD’s utility across both institutional and decentralized applications,” Jack McDonald, SVP of Stablecoin at Ripple, noted.
What the Chainlink Standard Means for Ripple’s RLUSD
The stablecoins industry has grown to a $212 billion valuation and a 24-hour average trading volume of about $97 billion, fueled by the mainstream adoption of digital assets and web3 protocols. Ripple Labs is keen to get a share of the stablecoins market, which is projected to grow exponentially in the coming years.
With the Chainlink Standard, Ripple’s RLUSD will enable secure on-chain DeFi applications. Consequently, Ripple will stand a chance to compete with already established stablecoins led by Circle’s USDC USDC $1.00 24h volatility: 0.5% Market cap: $45.54 B Vol. 24h: $9.54 B , Tether’s USDT USDT $1.00 24h volatility: 0.5% Market cap: $136.98 B Vol. 24h: $92.13 B , PayPal USD PYUSD $1.00 24h volatility: 0.2% Market cap: $499.46 M Vol. 24h: $17.46 M , USDD USDD $1.00 24h volatility: 0.2% Market cap: $742.66 M Vol. 24h: $2.28 M , and First Digital USD FDUSD $0.99 24h volatility: 0.7% Market cap: $1.88 B Vol. 24h: $4.97 B , among others.
Market Impact
The strategic partnership between Chainlink and Ripple Labs will have a long-lasting impact on the underlying native tokens; LINK and XRP respectively. Moreover, the ongoing mainstream adoption of RLUSD in enabling cross-border payments will increase the overall utility for XRP and LINK in the long haul.
Following the announcement, XRP price rallied 2.2 percent in the last 24 hours to trade at about $2.43 on Tuesday, January 7, during the early New York session. The large-cap altcoin, with a fully diluted valuation of about $242 billion and a 24-hour average traded volume of about $4.2 billion, has been signaling a potential rally toward an all-time high (ATH).
Moreover, XRP price recently broke out of a multi-year triangular consolidation following the triumphant victory of pro-crypto US leaders led by President-elect Donald Trump.
On the other hand, Chainlink’s price has been forming a bullish flag pattern after successfully retesting the crucial resistance level around $21. The mid-cap altcoin, with a fully diluted valuation of about $23 billion and a 24-hour average traded volume of around $1 billion, is on the cusp of rallying towards its ATH bolstered by institutional investors.
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Ripple Leverages Chainlink Standard to Enhance Seamless Adoption of RLUSD by DeFi Apps
