Ripple Mints Over 13M RLUSD Amid Imminent Launch

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As a seasoned analyst with over two decades of experience in the financial markets and blockchain industry, I find Ripple‘s recent minting of 13 million RLUSD stablecoins an intriguing development. The regulatory approval secured by Ripple sets it apart from its competitors, as the few U.S.-regulated stablecoins offer a level of reliability that is crucial for financial institutions.

American blockchain payments company, Ripple Labs, has produced more than 13 million units of its stablecoin, RLUSD, across various blockchain networks. This coin production is a part of Ripple’s expanded testing stage for their upcoming stablecoin release, which will be launched after receiving approval from the New York Department of Financial Services (NYDFS).

Ripple Mints Over 13M RLUSD Amid Imminent Launch

According to Ripple’s Stablecoin Tracker, a total of 13.9 million RLUSD tokens were created on both the XRP Ledger and the Ethereum Network.

2.6 million RLUSD were initially minted on the XRP Ledger by Ripple, followed by three more mintings with amounts of 100k, 160k, and 640k RLUSD respectively. At the same time, the Ethereum Network saw two mints of RLUSD tokens, amounting to 10.4 million and 640,000 tokens.

This stablecoin, backed completely by American onshore assets, is currently being thoroughly examined during processes involving coin creation and transactions between various networks. Ripple has verified that these trials aim to verify the stablecoin’s functionality prior to its public launch.

Additionally, Ripple’s CEO, Brad Garlinghouse, made a statement on his former platform (Twitter), stating, “You will learn about the launch of RLUSD directly from Ripple.

Regulatory Approval Sets RLUSD Apart from Competitors

As a crypto investor, I’m thrilled to share that Ripple has successfully secured approval from NYDFS, making RLUSD one of the select stablecoins regulated within the United States. Unlike other contenders such as USDT and USDC, RLUSD adheres to stringent U.S. financial regulations, including the Dodd-Frank Act and Basel III standards. This means investors like me can have peace of mind knowing that our investments are backed by robust regulatory oversight.

The stablecoin has its full value backed by U.S. government securities (Treasuries) and is securely stored under the supervision of approved custodians, adhering to regulations set by both the Federal Reserve and FDIC.

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

Obtaining this regulatory approval establishes RLUSD as a trustworthy asset within the financial sector. As stated by Ripple, its transparent business practices, such as real-time auditing, set it apart from other stablecoins. For instance, USDT has been subject to criticism due to inconsistent audit processes, while USDC faces difficulties in complying with U.S. regulations because a portion of its operations are based offshore.

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 underscored that the liquidity pool (LP) and automated market maker (AMM) functionalities for RLUSD on the XRP Ledger could potentially boost interest. He proposed that users earning income via LPs might play a role in expanding XRP’s user base. Furthermore, the capability to exchange RLUSD with other stablecoins or utilize it for on-chain staking could deepen RLUSD’s involvement within DeFi operations.

Recently, I’ve noticed some intriguing movements in the XRP market, particularly with regard to recent RLUSD developments. Specifically, a staggering 39.43 million XRP, equivalent to around $95.5 million, was transferred from an anonymous wallet to Coinbase. Furthermore, a ‘whale’ (a term used for large-scale investors) shifted roughly 99.99 million XRP, worth approximately $234.4 million, between unidentified wallets. These transactions have piqued my interest and may suggest potential market movements or institutional activity.

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2024-12-13 03:10