The #Ripple -USD (RLUSD) stablecoin reached a value of $1,200 per coin before launch, with CTO David Schwartz explaining the reason behind the pricing.
Ripple’s RLUSD launched on December 17, birthing a native stablecoin on the XRPL network. The launch sparked positive sentiments around the XRP ecosystem and contributed to a short-lived bullish push above $2.70.
Before then, RLUSD saw an unusual pricing on some wallets, with its valuation reaching as high as $1,200. Notably, this was abnormal, considering it is a stablecoin that should maintain a $1 valuation.
Community Discloses Abnormal RLUSD Pricing
Some XRP enthusiasts disclosed the abnormal pricing on X (formerly Twitter). For instance, a user shared a screenshot of the RLUSD’s pricing against XRP on the Xaman wallet, with 1 RLUSD valued at 511.20 XRP ($1,200 at the time).
Furthermore, a community figure confirmed the pricing, inquiring if it would stay that way until the launch, potentially pushing XRP to the lofty price. Notably, his comments align with a faction of the XRP community speculating that the RLUSD stablecoin will push XRP’s price higher.
Ripple CTO Provides Clarification
However, Ripple’s Chief Technology Officer David Schwartz explained the factor driving the RLUSD price spike using simple economics. He tweeted that the XRPL-based stablecoin will see price spikes in its early days due to limited supply and growing demand.
