Ripple minted 600,000 RLUSD tokens on Friday at the RLUSD Treasury.
The firm is controlling the scarcity of RLUSD so that it doesn’t overshadow XRP.
Analyst Arthur predicted that 20th January could be a good day to expand supply.
Ripple’s RLUSD, the dollar-backed stablecoin launched last year, has maintained a tight supply since its debut, hitting its cap shortly after release. The fintech giant appears to be taking a strategic approach to minting, aiming to control scarcity and create long-term value for holders.
On Friday, over 600,000 RLUSD tokens were minted at Ripple’s RLUSD Treasury, marking the first significant supply increase in months. XRP trader Arthur, speaking on X (formerly Twitter), emphasized the importance of scarcity in maintaining RLUSD’s value.
“A surge in supply could lead to inflation, driving prices down and destabilizing market confidence,” Arthur noted.
Why is @Ripple limiting RLUSD circulation to 53,1M?
Despite hitting the cap on the first days, the supply hasn’t increased. Is Ripple being cautious, or is there a bigger strategy at play? Let’s dive into it. THREAD
— Arthur (@XrpArthur) January 2, 2025
Curren…
The post Ripple’s Scarcity Model Reinforces RLUSD and XRP Ecosystem appeared first on Coin Edition.
