Ripple Launches New Stablecoin RLUSD on XRP Ledger and Ethereum

You can also read this news on COINTURK NEWS: Ripple Launches New Stablecoin RLUSD on XRP Ledger and Ethereum

Ripple is preparing to launch its new stablecoin, RLUSD, which is pegged to the US dollar, on the XRP Ledger (XRPL) and Ethereum blockchains. The stablecoin will be fully backed by cash reserves and can be exchanged at a one-to-one ratio with the US dollar.

Features of RLUSD and its Impact on XRP Demand

To enhance the reliability of RLUSD, Ripple will support the stablecoin entirely with cash reserves. This ensures that RLUSD can be converted to the US dollar at a one-to-one rate. The stablecoin will be available for transactions on both the XRP Ledger and Ethereum blockchains.

Experts suggest that there may be an increase in demand for XRP due to gas fees incurred during RLUSD transactions. RippleX account manager stated that the XRP Ledger EVM Sidechain will integrate with over 80 blockchains, providing low transaction fees.

Expectations of Temporary Market Fluctuations

David Schwartz pointed out that market imbalances could occur during the launch process. He noted, “Some users may pay above market value for RLUSD in the initial phase. However, this situation will not last long.” He highlighted that stablecoins would quickly stabilize through arbitrage in the markets.

Ripple’s collaboration with the Axelar Foundation is seen as a step towards making XRPL more compatible with different blockchains. This partnership aims to bring liquidity and forex-based use cases to the Ripple ecosystem.

Schwartz emphasized that RLUSD should be used for value storage and transfer rather than as an investment vehicle. He stated, “As the market stabilizes, RLUSD will stand out as a reliable stablecoin.”

The post Ripple Launches New Stablecoin RLUSD on XRP Ledger and Ethereum appeared first on COINTURK NEWS.