Ripple Announces the Launch of Its New Dollar-Backed Stablecoin, RLUSD

On Dec. 17, Ripple announced that the trading of its new dollar-backed stablecoin, Ripple USD (RLUSD), had gone live on multiple exchanges around the world.

Ripple's new dollar-backed stablecoin, Ripple USD (RLUSD), has officially launched on multiple exchanges around the world, the company announced on Saturday.

The stablecoin is now live on both the XRP Ledger and Ethereum blockchain, ensuring broad accessibility and interoperability.

According to a press release issued on Monday, the launch of RLUSD will initially take place on Uphold, Bitso, MoonPay, Archax, and CoinMENA. However, over the next several weeks, we will be seeing RLUSD getting listed on other crypto trading platforms, such as Bullish, Bitstamp, Mercado Bitcoin, Independent Reserve, and Zero Hash.

Each RLUSD token is backed by USD deposits, US Treasuries, and cash equivalents in order to ensure its stability, reliability, and liquidity.

On Dec. 14, Ripple CTO David Schwartz cautioned the community about potential supply shortages in RLUSD's early days, which could lead to temporary price volatility. However, he reassured users that any short-term deviations would stabilize quickly, as arbitrage mechanisms bring RLUSD's value back to its intended $1 peg.

Schwartz also emphasized that the stablecoin's core purpose is to maintain price stability, warning against irrational speculative behavior.

Designed for financial applications, RLUSD enables institutions to settle cross-border payments, access liquidity for remittance and treasury operations, and integrate with decentralized finance protocols. It serves as a bridge between fiat currencies and the crypto ecosystem, facilitating seamless transitions for entering or exiting digital assets.

RLUSD can also be used to collateralize trading of tokenized real-world assets like commodities, securities, and treasuries on-chain. Starting early next year, Ripple Payments will use RLUSD to process global payments for enterprise clients.

The launch of RLUSD has already garnered attention from business media outlets, including Fox Business and NYSE TV.

At the time of writing, XRP is trading at around $2.61, up 5% in the past 24-hour period, which is helping to strengthen XRP's claim to being the third most valuable cryptocurrency.