đȘRippleâs Stablecoin RLUSD Near Approval, Launch Countdown Underwayđ°
Rippleâs stablecoin is reportedly near regulatory approval, signaling a significant step toward reshaping the stablecoin market with a regulated, fully backed digital dollar.
Rippleâs Game-Changing Stablecoin RLUSD Awaits Final Nod by Regulator
Ripple is reportedly close to securing approval for its regulated stablecoin, RLUSD, from the New York Department of Financial Services (NYDFS), according to sources cited by Fox Business.
If granted, the approval will enable Ripple to launch its stablecoin on Dec. 4, marking its entry into New Yorkâs tightly regulated crypto market. This move would position Ripple as a competitor to established stablecoin issuers such as Circle, Paxos, and Gemini.
The crypto firm announced in April its plan to launch a stablecoin pegged to the U.S. dollar at a 1:1 ratio. According to the company, RLUSD will be fully backed by U.S. dollar deposits, short-term U.S. government treasuries, and other cash equivalents. Initially, the stablecoin will be available on the XRP Ledger (XRPL) and Ethereum blockchains, with future expansion to additional blockchains and decentralized finance (defi) protocols and applications.
RLUSD will provide Ripple with an alternative to the XRP token, which is entangled in legal battles with the U.S. Securities and Exchange Commission (SEC). Stablecoins, by contrast, are tied to assets with stable value, making them popular for payments and remittances. Rippleâs entry into the $199 billion stablecoin market aligns with projections of regulatory growth under the incoming Trump administration, which is expected to focus on federal-level stablecoin legislation.
According to the news outlet, Ripple intends to partner with platforms like Moonpay and Bitstamp for the stablecoinâs launch. Keith Grossman of Moonpay praised Rippleâs move, calling it a âwin-winâ for the global stablecoin ecosystem.