Coinspeaker Is Ripple Labs Planning to Debut UAE Dirham Stablecoin?
Ripple Labs Inc may launch a Dirham-backed stablecoin in the UAE in the coming months or weeks. While not confirmed, there are likely discussions in this regard. This comes as speculation intensifies about the timeline for the launch of RLUSD, the Ripple USD-pegged stablecoin. Ultimately, Donald Trump’s victory in the United States 2024 Presidential election brought some ease to the crypto industry in the region.
Ripple to Harness UAE’s Stablecoin Regulatory Framework
In a recent blog post, the blockchain payment firm acknowledged the rise and issuance of stablecoin globally. Ripple also stated that the niche will reach a valuation of as high as $3 trillion within five years. However, the availability of a clear and robust crypto regulatory framework is crucial to this growth.
Furthermore, Ripple pointed out that many governments are beginning to recognize the link between clear-cut regulations and the progress of the stablecoin landscape in their jurisdiction. Hence, they are putting in much effort to launch such centered frameworks. One of those pioneering this movement with robust crypto regulations is the UAE.
The Central Bank of the United Arab Emirates (CBUAE) released new regulations to integrate dirham-backed and non-AED-backed stablecoins into its financial systems. This step promotes financial inclusivity, allowing non-dirham stablecoins to be registered and used within specific guidelines, mainly for virtual asset transactions.
This move is symbolic of the shift that many governments are currently pursuing. Apart from cementing the UAE’s position as a global leader in the digital asset space, it also reflects a broader trend of progressive crypto regulation in the country. The UAE is laying the groundwork for safer, more efficient financial systems by embracing stablecoins.
RLUSD Testing amid Anon Wallet Transfers
Ripple has a long-standing presence in the UAE. The payment company partnered with the UAE-based National Bank of Fujairah PJSC (NBF) four years ago. The financial institution planned to use the RippleNet platform to facilitate instant payment and settlement solutions for its customers. Again, in 2022, Ripple expanded to the UAE through Tranglo.
With the UAE now pivoting to stablecoin, Ripple is trying to take up a market share by launching the Dirham-backed stablecoin. Noteworthy, its RLUSD launch is still underway. Although there was a pause, according to data provided by Ripple Stablecoin Tracker, some activities were recently spotted. In the last 24 hours, the tracker has highlighted various RLUSD transfers.
294,000 RLUSD has moved between two anonymous wallets, while 147,000 RLUSD has moved from the Treasury to unknown wallets. Meanwhile, the last mint of the stablecoin was recorded on October 26, more than a week ago. The private beta testing phase of RLUSD, which commenced in August, may gradually be drawing to a close.
This move will usher in the launch of the USD-pegged stablecoin on the Ethereum blockchain and the XRP Ledger (XRPL).
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Is Ripple Labs Planning to Debut UAE Dirham Stablecoin?
