Ripple’s XRP cryptocurrency has proven to be a hit in recent weeks within the blockchain community. To understand the reasons for this, just look at the coin’s chart over the past seven years.

Changes in the value of the XRP cryptocurrency since 2017

In the last two weeks, XRP has risen in value by 127 per cent, while the cryptocurrency has jumped 401 per cent in thirty days.

This has allowed XRP to take the third position in the overall ranking of digital assets by market capitalisation. In particular, the coin surpassed Solana, BNB and USDT from Tether.

The largest cryptocurrencies by market capitalisation today

Thus the current conditions for the launch of Ripple’s stablecoin seem almost ideal, as many investors discovered this ecosystem the day before, taking into account the behaviour of the XRP price.

But why does Ripple even need its own stablecoin? The answer to this will be given by the financial results of Tether, which issues the largest such token called USDT.

The giant’s net profit for the third quarter of 2024 was $2.5 billion, bringing its YTD total to $7.7 billion. Accordingly, Ripple could significantly improve its revenue numbers if the novelty is successful.

And he seems quite likely, since the company has been interacting with major banks for a long time.

What is Ripple’s RLUSD stablecoin?

Ripple USD (RLUSD) is a new stablecoin from Ripple, the launch of which is actively awaited in the cryptocommunity. Its value will be pegged to the U.S. dollar, which means that the product will be a competitor to other popular staples such as USDT from Tether and USDC from Circle.

The launch of RLUSD was originally announced on 12 June 2024 on Ripple’s Twitter account. As noted in the post, the token will launch on the Ripple and Etherium networks, with a full release in 2024.

The tweet also contained a link to the page of the respective project. However, there is still no information on it and there is only a suggestion to enter an email address to receive updates.

Ripple’s RLUSD stablecoin page

According to Fox Business sources, the launch of RLUSD will take place later today, i.e. on 4 December. This will happen following the relevant approval from the New York Department of Financial Services.

At the same time, the company urges the cryptocurrency community to be cautious and not to get involved with any such tokens before the official launch of the project. At the same time, coin price tracking platforms like CoinMarketCap and CoinGecko are already ready for RLUSD.

Ripple’s RLUSD stablecoin page on the CoinGecko platform

The RLUSD token will be fully backed by US dollar deposits, short-term US government treasury bonds and other cash equivalents.

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Stablecoin has been in beta testing since early August, running on Ripple’s public blockchain platform and Efirium’s mainnet. The company has already separately stated that the token is likely to be launched on other blockchains in the future.

Following the launch of RLUSD, Ripple plans to use the new stablecoin and the XRP cryptocurrency to make international payments for its customers. An announcement to this effect was made in the giant’s announcement of the project’s beta test launch.

Ripple executive Brad Garlinghouse is the head of the company

Ripple president Monica Long also noted in late June that RLUSD was designed to be a “complementary and complementary” asset to XRP. Accordingly, the company is certain to implement a linking mechanism between the cryptocurrency and the token.

According to Cointelegraph’s sources, Ripple’s management sees RLUSD as a favourable project for XRP, as the two assets will be used together.

It can already be assumed that the popularity of XRP and the huge trading volumes with the cryptocurrency will boost the liquidity of RLUSD. At the same time, the price of the stablecoin will be stabilised due to the pairing with XRP, which will further prevent the likelihood of RLUSD rate decoupling from the dollar.

During the announcement of RLUSD in September, Ripple CEO Brad Garlinghouse voiced the following phrase.

We see opportunities for a new player in the stablecoin market that will emphasise institutional clients and regulatory compliance.

Brad also noted that Ripple is already leveraging stablecoins in its own payment streams. Specifically, the giant is responsible for issuing approximately 20 per cent of Circle’s total USDC offering.

That said, Garlinghouse recalled the problems of this stablecoin in the spring of 2023 during the US banking crisis. Back then, Silicon Valley Bank had about 8 percent of its total USDC supply of $3.3 billion stuck in Circle, which led to a short-term decoupling of the token’s exchange rate from the dollar.

Here’s his rejoinder.

Last spring, an important event happened in the US: the USDC lost its peg to the dollar. We saw an opportunity for a trusted player who was already working with major financial institutions to gain a foothold in this market.

And while Brad clearly stated the positioning of RLUSD as a stablecoin for large companies, some users reported the token’s appearance in the non-custodial Ripple wallet Xaman.

It appeared in the programme’s interface today. Here is the corresponding photo.

Ripple’s RLUSD stablecoin RLUSD in the Xaman wallet


It seems that Ripple representatives continue to develop their own ecosystem. The choice of conditions for the launch of the stablecoin, if it takes place today, deserves a separate mention. Still, the growth of XRP the day before reminded the whole blockchain community about this project.

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