Ripple Commences Beta Testing for New Stablecoin RLUSD on XRPL and Ethereum
Ripple Labs has recently announced the commencement of beta testing for its latest stablecoin, Ripple USD (RLUSD), on both the XRP Ledger (XRPL) and the Ethereum mainnet. This milestone represents a significant advancement in Ripple’s endeavors to introduce a wider array of high-quality assets to the XRPL, with the goal of enriching opportunities, liquidity, and institutional use cases for a diverse range of users, developers, and applications. Moreover, Ripple USD is now accessible on the Ethereum mainnet, with future intentions to extend its reach to other blockchains and decentralized finance (DeFi) protocols.
At present, Ripple USD is in the beta phase and is undergoing meticulous testing by the company’s enterprise partners. Ripple has underscored the critical nature of this phase to ensure that the stablecoin adheres to the highest standards of security, efficiency, and dependability before its full-fledged launch, which is subject to regulatory approval. Consequently, Ripple USD is not yet open for purchase or trading.
A cautionary note has been issued by Ripple to the public to exercise vigilance against potential crypto scams that may falsely promise early access to Ripple USD. The company has reiterated that the stablecoin is not currently available for trading or purchase.
Ripple USD has been crafted as a stablecoin pegged 1:1 to the US dollar. The stablecoin is fully collateralized by US dollar deposits, short-term US government treasuries, and other cash equivalents, instilling a high degree of trust and stability. These reserve assets will be subject to audits by an independent third-party accounting firm, with Ripple committing to releasing monthly attestations to uphold transparency.
In a blog post, Ripple has outlined its plans to integrate Ripple USD into its cross-border payments solution alongside XRP once the stablecoin gains wider availability. The company envisions that RLUSD will elevate the global payment experience for its clientele, aligning with a market anticipated to surpass $2.8 trillion by 2028. Ripple aims to establish itself as a key player in the stablecoin market.
