Ripple’s RLUSD Stablecoin Set for Launch as NYDFS Approval Nears

Ripple Labs is preparing to launch its RLUSD stablecoin, which is pegged to the US dollar and backed by overcollateralized reserves.

Reports from November 29 suggest the New York Department of Financial Services (NYDFS) may grant approval within days, potentially allowing the stablecoin to go live by December 4.

This development highlights Ripple’s strategic expansion into the stablecoin market, where demand for reliable and versatile digital assets continues to grow. Ripple intends to integrate RLUSD with its cross-border payment systems, using both RLUSD and XRP to enhance global transaction efficiency. While some XRP holders initially feared the stablecoin might overshadow the token, Ripple has made no such indication of a pivot in focus.

First announced in April 2024, RLUSD is Ripple’s answer to competitors like USDC and USDT. With industry projections suggesting the stablecoin market could reach a $2 trillion valuation by 2028, Ripple sees significant potential for growth. In August, the company began testing RLUSD on the XRP Ledger and Ethereum, with plans to extend support to other networks over time.

READ MORE:

Binance Futures to Remove Select Perpetual Contracts Next Month

To ensure transparency and trust, Ripple will conduct regular third-party audits and release monthly updates on RLUSD’s collateral reserves. Partnerships with major platforms such as Bitstamp, Uphold, and Bullish have already been secured, paving the way for widespread adoption. Ripple’s CEO, Brad Garlinghouse, emphasized the company’s ongoing commitment to XRP and compliance with strict regulatory standards, ensuring the stablecoin operates seamlessly within its ecosystem.

Kosta Gushterov

Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.