Ripple (XRP) Stablecoin (RLUSD) Set to Integrate With the FedNow Payment System

The U.S. Federal Reserve is making progress in exploring how to add Ripple's XRP technology into its FedNow payment system, with a focus on Ripple USD (RLUSD).

The U.S. Federal Reserve is exploring the integration of Ripple’s XRP technology into its FedNow payment system, with a focus on using Ripple USD (RLUSD) to boost transaction speed, reduce costs, and increase efficiency within the network.

The integration of RLUSD, a stablecoin pegged 1:1 to the U.S. dollar and backed by dollar deposits, government bonds, and cash equivalents, will offer a transparent and stable solution for faster payments.

In a recent tweet, highlighting the development, Representative French Hill stated, “We must continue to explore innovative solutions, like FedNow, to ensure the U.S. maintains its leadership in the digital age of finance.”

🚨 BREAKING: The Federal Reserve is set to integrate #XRP into the FedNow payment system! pic.twitter.com/xpT44USQxh

While Ripple's integration is still in the works, Hedera (HBAR) has already been successfully implemented within the FedNow system.

As part of the broader move toward blockchain adoption in the U.S. financial system, Hedera's blockchain infrastructure is being utilized to facilitate secure, real-time payments.

According to experts, the next phase could involve a deeper collaboration between Ripple and Hedera. Such a partnership could see RLUSD being integrated with Hedera's infrastructure, enhancing connectivity between blockchain networks.

The integration of XRP into FedNow follows recent developments, including Ripple's announcement of new cross-border payment licenses and the launch of the RLUSD stablecoin, both of which are set to reshape the payment landscape in 2025.

In related news, Chairman Hill and Representative Bryan Steil have released a discussion draft for legislation on stablecoins, which aims to introduce a two-year ban on stablecoins backed solely by self-issued digital assets.

🚨NEW: Chairman @RepFrenchHill and @RepBryanSteil today released their discussion draft for #stablecoins.

Read more🔗https://t.co/wIzov4s99t

Meanwhile, the Subcommittee on the Golden Age of Digital Assets is scheduled to meet on February 11, 2025, to discuss these matters further.

The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.