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Ripple Secures New York Regulatory Nod for Stablecoin
Ripple has received final approval from New York regulators to launch its RLUSD stablecoin, marking its entry into the $200 billion global liquidity market.
Ripple CEO Brad Garlinghouse announced that the New York Department of Financial Services has granted the regulatory green light for RLUSD, a stablecoin redeemable 1:1 for U.S. dollars. āWhen RLUSD is live, youāll hear it from Ripple first,ā Garlinghouse said, likely as a warning against scammers and phishing campaigns.
Garlinghouse first hinted at Rippleās entry into the stablecoin marketādominated by Tether (USDT) and Circle (USDC)āin mid-2024, suggesting that shifting political dynamics would encourage new entrants like Ripple.
This just inā¦we have final approval from @NYDFS for $RLUSD! Exchange and partner listings will be live soon ā and reminder: when RLUSD is live, youāll hear it from @Ripple first.
ā Brad Garlinghouse (@bgarlinghouse) December 10, 2024
By August, RLUSD testing was underway on Ethereum and the XRP Ledger. Rippled announced forthcoming RLUSD availability on platforms like Uphold, Bitstamp, and Bullish weeks later in October.
RLUSD progress lulled momentarily as Ripple engaged regulators to bring its stablecoin to market compliantly. On Dec. 6, Ripple CTO David Schwartz said RLUSD would likely launch by yearās end, which was in 21 days at reporting time.
The stablecoin could compete with market incumbents like USDT and USDC, both of which already boast billions in market cap and circulating supply.
You might also like: News Wyoming seeks developers for state-backed stablecoin
RLUSD may also face competition from state-issued stable tokens, as Wyoming has moved toward launching its own stablecoin. Speaking with crypto.news, Stabolut CEO Enoko Knƶrr suggested that more states might follow Wyomingās lead to stay ahead of federal policymakers.
Growing stablecoin development could herald heightened optimism for regulations as well. A Republican-backed stablecoin bill advanced out of the House Financial Services Committee but has yet to be voted on by the full house.
Knƶrr believes stablecoin laws could benefit both existing players and new market operators, depending on who can adapt to rules and achieve compliance.
Incumbents with established infrastructure and trust, such as Circle, may gain a competitive advantage by leveraging their existing market position to navigate regulations effectively. Meanwhile, new entrants like Ripple could seize opportunities to innovate and adapt quickly within the regulatory landscape, potentially carving out new niches. Ultimately, the benefits will accrue to those who embrace regulation as a pathway to legitimacy and broader adoption.
Enoko Knƶrr, Stabolut CEO
Read more: Ripple targeting year-end RLUSD stablecoin launch: report
Ripple CEO Brad Garlinghouse announced that the New York Department of Financial Services has granted the regulatory green light for RLUSD, a stablecoin redeemable 1:1 for U.S. dollars. āWhen RLUSD is live, youāll hear it from Ripple first,ā Garlinghouse said, likely as a warning against scammers and phishing campaigns.
Garlinghouse first hinted at Rippleās entry into the stablecoin marketādominated by Tether (USDT) and Circle (USDC)āin mid-2024, suggesting that shifting political dynamics would encourage new entrants like Ripple.
This just inā¦we have final approval from @NYDFS for $RLUSD! Exchange and partner listings will be live soon ā and reminder: when RLUSD is live, youāll hear it from @Ripple first.
ā Brad Garlinghouse (@bgarlinghouse) December 10, 2024
By August, RLUSD testing was underway on Ethereum and the XRP Ledger. Rippled announced forthcoming RLUSD availability on platforms like Uphold, Bitstamp, and Bullish weeks later in October.
RLUSD progress lulled momentarily as Ripple engaged regulators to bring its stablecoin to market compliantly. On Dec. 6, Ripple CTO David Schwartz said RLUSD would likely launch by yearās end, which was in 21 days at reporting time.
The stablecoin could compete with market incumbents like USDT and USDC, both of which already boast billions in market cap and circulating supply.
You might also like: News Wyoming seeks developers for state-backed stablecoin
RLUSD may also face competition from state-issued stable tokens, as Wyoming has moved toward launching its own stablecoin. Speaking with crypto.news, Stabolut CEO Enoko Knƶrr suggested that more states might follow Wyomingās lead to stay ahead of federal policymakers.
Growing stablecoin development could herald heightened optimism for regulations as well. A Republican-backed stablecoin bill advanced out of the House Financial Services Committee but has yet to be voted on by the full house.
Knƶrr believes stablecoin laws could benefit both existing players and new market operators, depending on who can adapt to rules and achieve compliance.
Incumbents with established infrastructure and trust, such as Circle, may gain a competitive advantage by leveraging their existing market position to navigate regulations effectively. Meanwhile, new entrants like Ripple could seize opportunities to innovate and adapt quickly within the regulatory landscape, potentially carving out new niches. Ultimately, the benefits will accrue to those who embrace regulation as a pathway to legitimacy and broader adoption.
Enoko Knƶrr, Stabolut CEO
Read more: Ripple targeting year-end RLUSD stablecoin launch: report
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