Ripple Launches Stablecoin RlUSD Pegged to U.S. Dollar for Global Use

Ripple has made a significant move in the world of finance by launching a stablecoin called RlUSD, pegged to the U.S. dollar for global use.

RlUSD is designed to provide a reliable and stable store of value, allowing for seamless transactions across borders without the need for intermediaries.

This stablecoin is backed by a reserve of U.S. dollars, ensuring that its value remains stable and consistent with the dollar.

Ripple's goal with RlUSD is to make international transactions faster, cheaper, and more efficient, opening up new opportunities for businesses and individuals around the world.

RLUSD is scheduled for release on Tuesday, December 17, 2024, and is designed to provide a bridge between traditional finance and blockchain-based solutions.

Approved by the New York State Department of Financial Services (NYDFS), RLUSD will operate seamlessly across both the XRP Ledger (XRPL) and Ethereum blockchain, enhancing its utility and interoperability within decentralized finance (DeFi).

Ripple's RLUSD aims to address critical challenges in cross-border payments, offering stability, transparency, and cost efficiency, with regular audits and full regulatory compliance.

The introduction of RLUSD aligns with Ripple's broader vision of enhancing global payments through blockchain technology.

By leveraging its existing payment infrastructure and the scalability of the XRP Ledger, RLUSD is expected to accelerate Ripple's adoption among financial institutions and DeFi platforms.

RLUSD's interoperability with the Ethereum blockchain positions Ripple to tap into Ethereum's vast ecosystem of decentralized applications (dApps), offering seamless cross-chain transactions.

Ripple price has maintained continuous bullishness over the last few weeks, jumping to as high as $2.8 earlier in the month, and is currently at $2.51 with a market capitalization of $143.85B.

The XRP price is expected to push further, with some analysts claiming to see the XRP price at $5, $10, or even higher, following the launch of RLUSD.

RLUSD will go live on Tuesday, December 17, 2024, after receiving approval from the New York Department of Financial Services (NYDFS) on December 10.

The stablecoin is intended to maintain a 1:1 peg with the US dollar, with reserves of US dollar deposits, short-term Treasury bonds, and other liquid cash assets.

RLUSD will initially be available on the XRP Ledger and Ethereum Mainnet for on-chain users to leverage across DeFi protocols.

RLUSD operates under a New York Department of Financial Services limited purpose trust company charter, a regulatory framework that requires strict oversight of reserve assets and operational practices.

This charter is widely regarded as the premier regulatory standard worldwide, according to Ripple's CEO Brad Garlinghouse.

Monthly attestations of reserve assets will be published by an independent auditing firm, providing transparency into the stablecoin's backing.

Ripple has assembled an advisory board comprising industry heavyweights like Sheila Bair, former FDIC Chair, and David Puth, former CEO of the CENTRE Consortium.

The stablecoin will operate on both the XRP Ledger and Ethereum, a blockchain platform that supports smart contracts, positioning RLUSD for institutional adoption across multiple use cases.

RLUSD is issued under a New York Trust Company Charter, which operates under stringent regulatory oversight.

Ripple has partnered with several global exchanges and platforms to make RLUSD accessible to a wide audience. These platforms include Uphold, Bitstamp, Bitso, MoonPay, Independent Reserve, CoinMENA, and Bullish.

To drive liquidity and adoption, market makers B2C2 and Keyrock will provide support. This will foster a smooth integration of RLUSD into existing trading ecosystems.

Ivan Soto-Wright, CEO of MoonPay, praised Ripple's approach, stating that Ripple's commitment to advancing the stablecoin market is impressive. RLUSD is set to unlock new institutional use cases.

RLUSD will be integrated with Ripple Payments, which has processed US$70bn in payment volume across more than 90 markets. This integration will provide a foundation for institutional adoption of the stablecoin.

The launch of RLUSD is expected to have a significant impact on XRP. Ripple's price has maintained continuous bullishness over the last few weeks, jumping to as high as $2.8 earlier in the month.

The RLUSD stablecoin launch is likely to push the token further, with some analysts predicting a price of $5, $10, or even higher. The XRP price is currently at $2.51 with a market capitalization of $143.85B.

A crypto analyst, CrediBULL Crypto, believes the XRP chart is so clean and bullish that it can easily trade above $5 in 2025. This optimism is fueled by the token's recent surge, with its trading volume increasing by 87%.

If the Ripple price breaks the resistance at $2.60, it could trigger a bullish momentum, pushing the token to $3 or higher. However, this is just one factor contributing to the XRP price rally, with others like Bitcoin's ATH and the launch of XRP ETFs also playing a role.

Ripple is enhancing global payments through blockchain technology, which aligns with its broader vision.

By leveraging its existing payment infrastructure and the scalability of the XRP Ledger, RLUSD is expected to accelerate Ripple's adoption among financial institutions and DeFi platforms.

Ripple's interoperability with the Ethereum blockchain positions it to tap into Ethereum's vast ecosystem of decentralized applications (dApps).

This allows for seamless cross-chain transactions, giving users more flexibility when making payments.