Monica Long, the President of Ripple Labs, in a recent appearance on “Crypto in one Minute” shed some light on stablecoins, their real-world applications, and their role in reducing volatility. Stablecoins have grown to be industry favorites since they first launched in 2014. Investors turn to these digital assets because of their stability compared to other assets like Bitcoin, Ethereum, Solana, and others.
Ripple announced its venture into the stablecoin market with its highly anticipated RLUSD. Since then, there has been hype around it as market participants patiently wait for the official launch date. Meanwhile, there have been several updates as regards its current development. Let us see below.
Monica Long Talks Stablecoin
In the short interview shared on X (formerly Twitter), she was asked to explain what a stablecoin is in one minute. She explained that stablecoins are tokens that are built on a blockchain representing real-world fiat currencies. She noted that one of the most important things about stablecoins is that their value is pegged 1:1 with the corresponding fiat held in reserve account, for example, the USD.
WOW! Monica Long, President at #Ripple is answering the question “What is a stablecoin?”‚RLUSD‘ will be on XRP Ledger & Ethereum network –Both networks will interact with each other – ETH users will jump on the XRPL aswell! ‚RLUSD‘ will take over the billion-dollar… pic.twitter.com/zwEJMMkI6F
— 𝓐𝓶𝓮𝓵𝓲𝓮 (@_Crypto_Barbie) August 9, 2024
Talking about why people love stablecoins, she emphasized that this is because they are very useful in the world of digital currencies and they represent a way for people who do not have access to a traditional bank account to hold the United States dollar. Secondly, she pointed out that stablecoins are a way to efficiently buy other cryptocurrencies and lastly, she stressed that stablecoins allow users to trade and reduce volatility.
Notably, these and more are the features of the anticipated Ripple RLUSD stablecoin. The RLUSD will be launched on both XRPL (XRP Ledger) and on the Ethereum network. However, Ripple has revealed its plan to launch on other networks in time. Ripple’s plan to venture into the billion-dollar Stablecoin market has already begun to materialize as it recently gave an important update on X.
RLUSD Now in Private Beta Mode
Meanwhile, in a recent blog post, Ripple announced a significant step in the development of the RLUSD stablecoin. In the post, Ripple informed that the RLUSD stablecoin has entered the private beta mode on the XRP Ledger and Ethereum Mainnet. Ripple noted that the milestone marks a significant step in offering high-quality assets on XRPL.
What is more, Ripple said that the stablecoin is currently meticulously tested by its verified enterprise partners to ensure security, efficiency, and reliability and that high standards are met before the eventual public launch following regulatory approval.
Additionally, Ripple informed that upon launch, the company will use both RLUSD and the XRP coins to service its customers in its global payment solution. The stablecoin will be pegged 1:1 with the U.S. dollar and backed by U.S. dollar deposits, short-term US government treasuries, and other cash equivalents.
Meanwhile, Coinfomania previously reported the alarming increase in scams targeting XRP investors and also the RLUSD following the recent court ruling. Scammers launch fake websites and campaigns promising users giveaways, airdrops, and certain cashback if they engage with shared links. Ripple warned that users should be cautious of these fake offers including those that claim to have early access to sell Ripple USD and that Ripple and its executives will never ask you to send funds for anything.
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