Ripple’s CTO, David Schwartz, has warned investors about potential price volatility for RLUSD, Ripple’s U.S. dollar-pegged stablecoin, as it prepares for launch. He acknowledged the possibility of initial supply shortages driving its price above its intended $1 parity to the U.S. dollar. An announcement for when RLUSD will be released to the market has yet to be provided.
Schwartz noted some pre-market bids valuing RLUSD as high as $1,244, attributing this to excitement from buyers seeking to claim the first units of the stablecoin. However, he said such inflated valuations would be short-lived, assuring that “the price will come back to very close to $1 as soon as supply stabilizes.
If it doesn’t, something is very seriously wrong.” Schwartz also reminded investors of a stablecoin’s main purpose: to have a “stable price.”
Source
<p>The post Ripple CTO Warns of Potential Price Volatility for RLUSD Stablecoin first appeared on CoinBuzzFeed.</p>