Ripple Labs, an American blockchain payments firm, has minted over 13 million RLUSD stablecoins across multiple blockchain networks. This activity is part of Ripple’s intensified testing phase for its stablecoin, which is set to launch soon following approval from the New York Department of Financial Services (NYDFS).
Ripple Mints Over 13M RLUSD Amid Imminent Launch
Data from Ripple’s Stablecoin Tracker reveals the minting of 13.9 million RLUSD tokens across the XRP Ledger and Ethereum Network.
On the XRP Ledger, Ripple minted 2.6 million RLUSD, followed by three additional mints of 100,000, 160,000, and 640,000 RLUSD tokens. Concurrently, the Ethereum Network recorded mints of 10.4 million and 640,000 RLUSD tokens.
The stablecoin, which is fully backed by onshore U.S. assets, has been undergoing rigorous tests involving minting and transfers across these networks. Ripple confirmed that these tests are aimed at ensuring the stablecoin’s functionality before its official debut.
Moreover, CEO Brad Garlinghouse commented on X (formerly Twitter), saying, “When RLUSD is live, you’ll hear it from Ripple first.”
Regulatory Approval Sets RLUSD Apart from Competitors
Ripple has secured NYDFS approval, making RLUSD one of the few U.S.-regulated stablecoins. Unlike competitors like USDT and USDC, RLUSD meets strict requirements under U.S. financial regulations, including the Dodd-Frank Act and Basel III standards.
The stablecoin is fully collateralized by U.S. Treasuries and held in regulated custody, ensuring compliance with Federal Reserve and FDIC guidelines.
US banks can hold #RLUSD on the XRPL/ETH ledger, and why USDC and USDT cannot.
Here’s an explanation of why RLUSD is so special and why it took years to get approved… READ ON
Regulations Summary:
U.S. GAAP/IFRS: Assets must have clear value, reliable measurement, and meet…
— Vincent Van Code (@vincent_vancode) December 11, 2024
This regulatory approval positions RLUSD as a reliable asset for financial institutions. According to Ripple, its transparent operations, including real-time audits, differentiate it from other stablecoins. USDT, for example, has faced scrutiny for inconsistent audits, while USDC operates partially offshore, making compliance with certain U.S. standards challenging.
Analysts Assess XRP Price Movement Amid RLUSD Developments
The approval and testing of RLUSD have coincided with a notable increase in XRP’s market value. XRP has risen from $1.90 to $2.35, with some analysts describing this as a “speculative pump.” Software engineer Vincent Van Code stated that XRP’s price could see further gains if RLUSD enters decentralized finance (DeFi) ecosystems.
Van Code emphasized that liquidity pool (LP) and automated market maker (AMM) features for RLUSD on the XRP Ledger could drive demand. He suggested that users earning returns through LPs might contribute to increased XRP adoption. Additionally, the ability to swap RLUSD with other stablecoins or use it for on-chain staking could further integrate RLUSD into DeFi activities.
Amid RLUSD-related developments, significant XRP transactions have been observed. Over 39.43 million XRP, valued at $95.5 million, was moved from an unknown wallet to Coinbase. Separately, a whale transferred approximately 99.99 million XRP worth $234.4 million between unknown wallets.
The post Ripple Mints Over 13M RLUSD Amid Imminent Launch appeared first on CoinGape.