- RLUSD is backed by U.S. Treasury bonds and dollar deposits, enhancing its reliability and positioning it as a secure stablecoin.
- Ripple is operationally ready for RLUSD’s launch, with millions of dollars transferred during testing on XRP Ledger and Ethereum.
- Regulatory approval from the NYDFS is pending, but Ripple remains optimistic, with the launch expected “in weeks, not months.
Ripple CEO Brad Garlinghouse has revealed new details regarding the company’s upcoming stablecoin, Ripple USD (RLUSD). As the launch approaches, Garlinghouse emphasized that RLUSD will set the “gold standard” for enterprise-grade stablecoins, citing its foundation on trust, liquidity, and regulatory compliance.
Strong Foundation for RLUSD’s Success
RLUSD has been in development for nearly a year, during which Ripple has partnered with trusted exchanges, market makers, and an advisory board to ensure its success. Significantly, the stablecoin will be backed by short-term U.S. Treasury bonds, cash equivalents, and dollar deposits. This backing aims to provide strong financial stability for RLUSD.
RLUSD is currently being tested on both the XRP Ledger and Ethereum networks. Monica Long, Ripple’s president, confirmed that the company is operationally ready for the stablecoin’s public release. Over the past few days, millions of dollars have been transferred into RLUSD as part of these testing phases, reflecting the company’s preparations for its official launch.
Regulatory Approval Pending
However, the launch is still awaiting approval from the New York Department of Financial Services (NYDFS). Despite this delay, Garlinghouse remains optimistic, previously stating that the launch could occur “in weeks, not months.” Ripple has committed to providing independent monthly reports on RLUSD’s reserves, which will be compiled by BPM, a San Francisco-based accounting firm.
Ripple’s Confidence in RLUSD
As the launch nears, Ripple appears confident that RLUSD will meet market demand. Besides, the company’s meticulous planning, including trusted exchange partners and transparent reserves, positions the stablecoin for wide adoption once regulatory clearance is obtained. The company’s move into stablecoins could significantly expand Ripple’s market influence.
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