Ripple USD (RLUSD) has officially launched on global exchanges, offering a stablecoin that combines the reliability of fiat currency with the efficiency of blockchain technology. The stablecoin will operate on both the Ethereum network and Ripple’s native XRP Ledger (XRPL), providing users with options for transactions.
Initially, the price of RLUSD experienced some fluctuations within a 20% range, but it is pegged to the U.S. dollar at a 1:1 ratio to ensure long-term stability. Ripple CTO David Schwartz mentioned that there may be supply shortages at first, causing price fluctuations, but once the supply stabilizes, the price will return to around $1.
Schwartz expressed his excitement for the launch, stating, “Since the idea of RLUSD many months ago to launch in a matter of hours, I’ve been looking forward to more use cases realized on the XRPL and more liquidity on-chain with a trusted stablecoin like RLUSD. Countless opportunities are here for developers and users who want the benefits of XRPL, RLUSD, and XRP.”
RLUSD will be available on exchanges such as Uphold, Bitso, and CoinMana, with more exchanges expected to list the stablecoin by the end of the year. Backed by US dollar deposits, government bonds, and cash equivalents, Ripple’s stablecoin offers stability and transparency that many other stablecoins lack.
With features like instant cross-border payments, liquidity for remittances, and integration with DeFi protocols, RLUSD aims to bridge the gap between traditional fiat and cryptocurrencies. This launch is significant for XRP and the broader crypto ecosystem, as it offers a level of compliance and trust that sets it apart from other stablecoins.
Ripple’s stablecoin has the potential to disrupt the market and challenge dominant stablecoins like Tether and USDC, with major partners and exchanges expected to adopt RLUSD. This move signals a new era for stablecoins and paves the way for a more seamless integration of traditional financial systems with blockchain technology.