Ripple Initiates Testing of Stablecoin on XRP Ledger and Ethereum Network
Ripple Labs, a technology company based in the United States, has announced the commencement of testing for its stablecoin, RLUSD, on the XRP Ledger and Ethereum blockchain networks. The company shared the news of this development, stating, “Testing, testing…RLUSD! We’re excited to share that Ripple USD (RLUSD) is now in private beta on XRP Ledger and Ethereum mainnet.”
It is important to note that RLUSD has not yet received regulatory approval, and consequently, it is not available for purchase or trading. Ripple Labs also cautioned users to remain vigilant against scammers who may falsely claim to possess or distribute Ripple USD.
In a statement on its website, the company highlighted the significance of this milestone, emphasizing that it brings them closer to introducing more high-quality assets to the XRPL. This move is expected to create new opportunities, enhance liquidity, and facilitate institutional use cases for users, developers, and applications. Additionally, the mainnet version of Ripple USD is currently accessible on Ethereum, with plans underway to extend its availability to other blockchains and decentralized finance protocols in the future.
The beta phase of Ripple USD is ongoing, with the stablecoin undergoing testing by the company’s partners. This testing phase is crucial to ensure that RLUSD meets the highest standards of security, efficiency, and reliability before it is made widely accessible post-regulatory approval.
Stablecoins, such as RLUSD, are specifically designed to maintain a one-to-one peg with the US dollar, simplifying exchanges for cryptocurrency users and investors.
In recent news, Ripple Labs faced a $125 million fine following a four-year legal battle with the US Securities and Exchange Commission. This ruling led to a 23% daily increase in the price of XRP, the company’s native cryptocurrency.
The move to test RLUSD on multiple blockchain networks signifies Ripple Labs’ commitment to expanding its offerings and exploring new avenues within the cryptocurrency space.
