Ripple has announced the launch of its U.S. dollar-backed stablecoin, RLUSD, which will operate on both the Ethereum blockchain and the XRP Ledger. Initially, RLUSD will be available on select global cryptocurrency exchanges. However, Binance and Coinbase will not list the stablecoin at launch.
This strategic release marks Ripple’s continued efforts to expand its presence in the digital payments sector. At the time of lunch, RLUSD would be available on Uphold, CoinMena, Bitso, Moonpay, and Archax. Other exchanges that are expected to list the coin soon are Bitstamp, Mercado Bitcoin, Bullish, and Zero Hash.
Ripple revealed the news on Monday, alongside the appointment of former Reserve Bank of India Governor Raghuram Rajan to the RLUSD advisory board. Rajan’s inclusion highlights Ripple’s focus on integrating seasoned financial experts as it develops its stablecoin business. Ripple Payments, the company’s cross-border payments subsidiary, has already processed $70 billion across 90 markets worldwide.
Also Read: Pudgy Penguins’ PENGU Token Launches on Binance Amid Growing Market Buzz
Ripple Targets Cross-Border Payment Growth with RLUSD
Jack McDonald, Ripple’s senior vice president of stablecoins, noted that increasing cross-border payment demand influenced the decision to create RLUSD. He explained that Ripple’s reliance on existing stablecoins underscored the need for a more efficient and cost-effective native solution.
“Part of the impetus for us wanting to launch a stablecoin is the growth we’ve seen specifically in cross-border payments,” McDonald told CNBC. He added that stablecoins act as a “hybrid situation,” combining the stability of the U.S. dollar with far less volatility than other cryptocurrencies.
Ripple Payments plans to adopt RLUSD into its operations by early next year. This integration could enhance the stablecoin’s usage and drive greater adoption of XRP, Ripple’s native digital asset. Additionally, Ripple aims to connect RLUSD with traditional financial systems to improve its utility for businesses and institutions globally.
The launch comes as stablecoins continue to play a growing role in facilitating international payments. Despite RLUSD not being listed on Binance and Coinbase, Ripple positions itself to compete in the expanding digital dollar market.
Ripple’s introduction of RLUSD demonstrates its commitment to providing efficient and cost-effective payment solutions for users worldwide. By addressing cross-border payment needs, the company seeks to strengthen its foothold in the global financial ecosystem.
Also Read: Ripple’s RLUSD Stablecoin Set for Launch, Boosting XRP’s Bullish Momentum
